2013 (7) TMI 403 - AT - Central Excise

Stay Application Waiver of pre-deposit - The applicant received certain inputs from a 100% EOU and availed the credit as per the provisions of Rule 3(7) of CENVAT Credit Rules - The demand is in respect of special additional duty paid by a 100% EOU - Prior to 07.09.2009 the applicants are not entitled for such credit Held that - By Notification No.22/2009 dt.07.09.2009 CENVAT Credit of 4% Special Additional Duty charged under Section 3(5) of Customs Tariff Act is admissible Relying upon the decision of Sri Venkaeshwara Precision Components 2010 (8) TMI 243 - CESTAT CHENNAI to submit that the Tribunal allowed the credit in respect of Special Additional Duty even prior to issuance of Notification No.22/2009 dt. 07.09.2009 Waiver of Pre-deposit allowed Decided in favor of Assessee.

Summary

The Appellate Tribunal CESTAT Ahmedabad allowed the applicant's request for waiver of pre-deposit of duty amounting to Rs.1,06,80,750/-, interest, and penalty. The Tribunal found that the applicant had a case for waiver as they had availed credit in accordance with CENVAT Credit Rules. Recovery of dues was stayed during the appeal process. The Stay Petition was allowed.