9911796707
TMI Blog2024 (7) TMI 60X X X X Extracts X X X X X X X X Extracts X X X X ..... Appellant : Mr. N. Viswanathan , Advocate For the Respondent : Mr. N. Satyanarayanan , Authorised Representative ORDER Order : - Per Ms. SULEKHA BEEVI C. S. Brief facts are that the appellant is engaged in the manufacture of Corrugated Cartons and Lables and are registered with the Central Excise Department. On scrutiny of records, it was noted that the appellant is also manufacturing Print ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... process of law, the Original Authority confirmed the demand interest and imposed penalties. On appeal, the Commissioner (Appeals) upheld the same. Hence this appeal. 2. The Ld. Counsel Shri N. Viswanathan appeared and argued for the appellant. It is submitted that the appellant though had availed common credit on input services for the disputed period had reversed the proportionate credit availed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d. 3. The Ld. Authorised Representative Shri N. Satyanarayanan appeared for the Department. The findings in the impugned order was reiterated. 4. Heard both sides. 5. The issue to be considered is whether the demand of 5%/6% of value of exempted goods alleging that the appellant has not intimated the Department as per Rule 6(3)(ii) of the CENVAT Credit Rules, 2004 for availing credit on common ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f Rule 6 speaks about the situation when such manufacturer or service provider does not maintain separate accounts. The said rule provides for two options. (a) a manufacturer shall pay 5%/6% of the value of the exempted goods OR (b) reverse the credit on inputs and input services pertaining to exempted goods and exempted services as per the procedure and conditions prescribed in Rule 6(3A). ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t to have raised the Show Cause Notice demanding 5%/6% of the value of exempted goods. 8. Following the decision in the case of Mercedes Benz India Pvt. Ltd. (supra) and after appreciating the facts, we are of the opinion that the demand cannot sustain. 9. In the result, the impugned order is set aside. The appeal is allowed with consequential reliefs, if any, as per the law. ( Order dictated a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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