TMI Blog2015 (9) TMI 1693X X X X Extracts X X X X X X X X Extracts X X X X ..... export can be put to the credit of the manufacturer/provider of output service, firstly towards duty of excise; secondly towards service tax and only if, for any reason, such adjustment is not possible, refund is allowed. The third option is an exception to the rule. Only and only if the first two options cannot be exercised, the third option can be resorted to. In the instant case, no notifica ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... olding that the appellant is not entitled for refund in cash even if it goes out of Modvat scheme? (2) Whether the Tribunal is right in denying the refund in cash even if there is no bar under Section 11B of the CE Act or Rule 5 of the Cenvat Credit Rules, 2002 to refund the amount in cash if a person is unable to utilize the credit? 2. Appellant s entitlement to refund of Cenvat credit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r for export on payment of duty; or (ii) service tax on output service, and where for any reason such adjustment is not possible, the manufacturer shall be allowed refund of such amount subject to such safeguards, conditions and limitations, as may be specified, by the Central Government, by notification : Provided that no refund of credit shall be allowed if the manufacturer or provid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lso, it is not the case of the appellant that adjustment of refund cannot take place against the first two options provided for under the Rule. It is not a case where the appellant has totally closed down his business of manufacture or export. Hence, the Cenvat credit cannot be refunded in cash. 6. In this view of the matter, substantial questions of law are answered accordingly and the appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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