TMI Blog2023 (9) TMI 564X X X X Extracts X X X X X X X X Extracts X X X X ..... gistration on 30.11.2006, but the Registration Certificate was received by them only on 04.12.2006. In the meantime, they started availing the credit. The present issue pertains the duty liability on 3 invoices dated 30.11.2006, 01.12.06 and 03.12.06. The Appellant cleared the goods under these three invoices without payment of duty as they were still availing the benefit of Notification 8/2003 dated 0103.2003. The Appellant was eligible for exemption of Notification 8/2003 dated 01.03.2203 as their value of clearances in the Financial year 2006-07 was much below the threshold limit of Rs 1.5 Crores. The Appellant claimed that they have taken Registration on 30.11.2006, but the Registration Certificate was received only on 04.12.2006. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ging that they have cleared goods without payment of duty vide three Commercial Bills bearing No.MTW/08/12/06-07 dated 30.11.2006, MTW/09/01/06-07 dated 01.12.2006 and MTW 09/02/06-07 dated 03.12.2006. Accordingly, Central Excise duty of Rs.43,533/- was demanded from them alleging suppression of fact with an intent to evade payment of duty, as they have not shown these three clearances in the monthly ER-1 filed for the month of December, 2006. The Appellant contested the demand of duty proposed in the Notice on the ground that the said removals were effected before granting Registration Certificate on 04.12.2006 and all the three consignments of finished goods were manufactured out of inputs on which no Cenvat Credit was taken. The case was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 12.06. As the raw material received on 30.11.06 was sent to job worker under proper document and received back only on 04.12.2006, no credit was utilized by them prior to 04.12.2006. They further contended that the Cenvat Credit available on stock of inputs as on the date of registration has been allowed by Govt. Hence, there was no infirmity in availing of the credit by them on 01.12.2006. Accordingly, they prayed for setting aside the impugned order. 3. The Ld.A.R. reitterated the findings in the impugned order. 4. Heard both sides and perused the appeal records. 5. We observe that the Appellant were availing the benefit of Notification 8/2003 dated 01.03.3003 and clearing the goods without payment of duty, as the value of cleara ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... any credit till 04.12.2006. We observe that there is no infirmity in availing the Cenvat credit even before the date of Registration. The eligible credit, if any entered in their books of account before the date of registration can be utilized only after taking the Registration. We also observe that credit on stock of inputs lying in the factory as on the date of registration was admissible as per Para 5 of the Instruction contained in Ministry s F. No. 345/2/2000-TRU dated 29.08.2000 . Thus, duty cannot be demanded on the goods cleared vide invoices dated 01.12.06 03.12.06 only on the ground that they have availed Cenvat credit before that clearances. In this case, the Appellant has not utilized any credit for clearances of the goods men ..... X X X X Extracts X X X X X X X X Extracts X X X X
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