TMI Blog2020 (12) TMI 810X X X X Extracts X X X X X X X X Extracts X X X X ..... exempted service. Accordingly, there is no application of Rule 6(3) of the Cenvat Credit Rules, 2004. In the instant case of the Appellant also, there is no dispute that the goods where cleared after payment of excise duty and thus once the duty has been paid on such goods and accepted by the department, the same cannot be treated as a trading activity to trigger the mis chive under Rule 6(3) of the CCR, 2004. Extended period of limitation - HELD THAT:- Further, it is also on record that the Appellant s activities were known to the department since inception as earlier also a SCN dated 01/04/2015 was served on the Appellants for recovery of Cenvat credit availed on imported china pipes which were cleared after payment of duty. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 5/- along with interest and penalty alleging that the Appellant had engaged itself in trading activities as well as manufacture and sale of excisable goods and have not maintained separate set of books of accounts for common input services used in trading of goods and manufacture of taxable goods and thus reversal of common credit is required under Rule 6 of the Cenvat Credit Rules, 2004 as trading of goods is an exempted services as per section 66D of the Finance Act, 1994. The said SCN culminated into Order-in-Original dated 12/10/2018 wherein the Adjudicating authority confirmed the total demand as proposed and imposed a penalty of equivalent amount. On Appeal before the Commissioner(Appeals), the Ld. Commissioner (Appeals) upheld the sa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 18 (363) E.L.T. 1078 (Tri. - Mumbai) 6. He further stated that the current proceedings has been initiated by invoking extended period of limitation whereas the knowledge of the activities of the Appellant was well known to the department as it had already issued a SCN for recovery of Cenvat credit on imported China pipes in 2015 itself and hence the extended period cannot be invoked in the current case at all. 7. The learned Authorized Representative for the Revenue, justified the impugned orders. 8. Heard both sides through video conferencing and perused the appeal records. 9. The short issue that arise for consideration in the instant appeal is with respect to whether the Appellant is liable to reverse the amount demanded unde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pted service. Accordingly, there is no application of Rule 6(3) of the Cenvat Credit Rules, 2004. Accordingly, the impugned order is set aside. The appeal is allowed. 10. In the instant case of the Appellant also, there is no dispute that the goods where cleared after payment of excise duty and thus once the duty has been paid on such goods and accepted by the department, the same cannot be treated as a trading activity to trigger the mis chive under Rule 6(3) of the CCR, 2004 and I hold accordingly. 11. Further, it is also on record that the Appellant s activities were known to the department since inception as earlier also a SCN dated 01/04/2015 was served on the Appellants for recovery of Cenvat credit availed on imported china p ..... X X X X Extracts X X X X X X X X Extracts X X X X
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