TMI Blog2023 (2) TMI 229X X X X Extracts X X X X X X X X Extracts X X X X ..... ted in the Cenvat account of transferor unit. The transfer of credit from one unit to another unit of the same assessee company in terms of Rule 10A is only a procedural requirement and it is not a case of any fresh payment of duty. The credit which is transferred is in respect of duty which was already paid. Therefore, by transfer of credit there is no Revenue implication. If at all there is lapse, it is on the part of the transferor unit against which the audit had already raised the issue and on payment of interest the issue was settled and no further action was taken against the transferor unit. For this reason also Cenvat credit should not have been denied to the appellant. There are no reason that in the facts and circumstances ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Revenue reiterates the findings of the impugned order. 4. I have carefully considered the submissions made by both the sides and perused the record. I find that the lower authorities have denied Cenvat credit on the challans issued for transfer of credit from their other unit at Moriya to the unit of the appellant at Changodar. The reason for denial was that credit was transferred two months before the period prescribed under Rule 10A of Cenvat Credit Rules, which is reproduced below:- RULE [10A. Transfer of CENVAT credit of additional duty leviable under sub-section (5) of section 3 of the Customs Tariff Act. - (1) A manufacturer or producer of final products, having more than one registered premises, for each of which registrati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y fresh payment of duty. The credit which is transferred is in respect of duty which was already paid. Therefore, by transfer of credit there is no Revenue implication. Moreover, for the early transfer of credit and availment thereof, the appellant has admittedly paid the interest due to which the availment of credit shall be treated as on last date of the quarter in both the cases. Therefore, only for early transfer, credit cannot be denied. 5. Without prejudice to the above findings, I further find that if at all there is lapse, it is on the part of the transferor unit against which the audit had already raised the issue and on payment of interest the issue was settled and no further action was taken against the transferor unit. For th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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