TMI Blog2022 (12) TMI 721X X X X Extracts X X X X X X X X Extracts X X X X ..... ed 11.09.2004. These imports took place in 2005, 2006 and 2007. During the period 2004-05 to 2006-07. In the Foreign Trade Policy there is specific provision to allow Cenvat Credit in respect of scheme like VKGUY, Target Plus, Focus Products Scheme but no such provisions was made for SFIS and during the period from 2007-08 onwards, a general provisions at para 3.12.1 (2007-08 to 2008-09) and para 3.17.6 (2009-10 onwards) was made. During the relevant disputed period, in the Foreign Trade Policy, there was neither an express provision to allow Cenvat credit of the CVD paid through debit in the SFIS scrip nor to disallow the Cenvat Credit of the CVD paid through SFIS. In such situation, admissibility of Cenvat Credit should be decided as p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nts of these duties are made by way of debits in SFIS (Service from India Scrip). Appellant availed the Cenvat Credit of such CVD in terms of Rule 3 of Cenvat Credit Rules, 2004. The department objected to the availment of credit and issued show cause notice alleging that since the Capital Goods had been cleared under the said Notification, the goods were exempted goods and as a consequence, the Cenvat Credit of CVD debited in the SFIS scrip was not admissible. Further, it was also alleged that since the Foreign Trade Policy allowed Cenvat Credit of such duty paid through the scrip in respect of schemes like Focus Products Schemes, VKGUY etc., no provision was made for SFIS in view of para 3.17.6 inserted in FTP from 2009-10. In adjudicatio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vs. CCE- 2007(216) ELT 133(T-LB) (ii) CCE vs. Surya Roshni - 2003(155) ELT 481 4. He also submits that the Circular relied upon by the Revenue are equally inapplicable inasmuch as the mere non mention about cenvat credit being available of duty debited in the SFIS scrip does not imply that such credit were not allowed. 5. He further submits that department has failed to appreciate the settled law that once the appropriate duty is paid by debit to the SFIS scrips on the import of capital goods, they are not exempted goods but are goods on which appropriate duty leviable has been paid. Consequently, no payment /reversal in terms of the CCR was required to be made. He placed reliance on the following decisions. (i) Univ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e facility of Cenvat Credit under this scheme. Therefore, same was not mentioned in these two Notifications. Accordingly, Board has issued customs Notification No. 97/2005 to extend the facility of Cenvat Credit in respect of customs Notification No. 53/2004 related to old version of target plus scheme stating that under Notification No. 53/2003 the facility of Cenvat Credit would be available, which had not been mentioned initially when the said Notification No. 53/2003 was issued. 6. He also submits that Notification No. 97/2005 was issued for various issues including availment of cenvat credit, amendment in port of import etc. The said Notification No. 97/2005 also effected some amendments in respect of Notification No. 54/2003 per ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s para except to reiterate the earlier stand of the Government that the facility of Cenvat credit would not be available to serve from India Scheme. So, there is no question of applicability of this para prospectively, as wrongly understood by the Appellant. 8. He further submits, as per the Rule 4(1) of Cenvat Credit Rules, 2004, the Appellant should have taken cenvat credit immediately on receipts of the goods. However, in the present case the Appellant informed in March 2011 that they want to take cenvat credit against the goods imported by them during 2004-2007 under the Serve from India Scheme. The availment of cenvat credit by the appellant after 6-7 years of receipt of the goods is clearly time-barred as per the said rule. Ther ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in cash or through debit under Duty Credit scrip shall be adjusted as Cenvat Credit or Duty Drawback as per DoR rules, except under SFIS However, the appellant claimed that as per the above para of FTP, the credit of duty paid by debit to SFIS scrip was not allowed implies that before the introduction of the said para, it was allowed because if it was not allowed before that also, then there was no need to insert the said para which only has prospective applicability. Whereas revenue contended that this interpretation of the appellant was wrong since the Government s intention was never to extend facility of the Cenvat Credit related to export of service, right from the inception of this scheme in 2003, as per the said para, the c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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