2015 (6) TMI 745 - AT - Central Excise

Simultaneous exemptions under notification no.29/2004-CE, dt. 09.07.2004 as amended and also notification no.30/2004-CE as amended - Held that - Decision in the case of M/s. Arvind Ltd. and M/s. Arvind Polycot Ltd. Vs. CCE, Ahmedabad-iii 2014 (6) TMI 271 - CESTAT - Ahmedabad - impugned order in this case is liable to be set aside - Decided in favour of assessee.

Summary

Issues:
1. Simultaneous availment of benefits under notification nos. 29/2004-CE and 30/2004-CE.

Analysis:
The appeal before the Appellate Tribunal CESTAT Ahmedabad was directed against OIO No.32/DEM/VAPI/2012, where the appellant had availed exemptions under two notifications during a specific period. The revenue contended that the appellant was not eligible for both exemptions as they had also utilized Cenvat Credit on capital goods and inputs. The issue revolved around whether the appellant could avail benefits under both notifications simultaneously.

Both parties agreed that the matter was previously addressed in the case of M/s. Arvind Ltd. and M/s. Arvind Polycot Ltd. Vs. CCE, Ahmedabad-iii, where a similar issue was decided. Upon reviewing the records, the Tribunal found that the issue at hand involved the simultaneous availment of benefits under notification nos. 29/2004-CE and 30/2004-CE. Referring to the previous case, the Tribunal highlighted that the provisions of Rule 6(1) of Cenvat Credit Rules were not applicable in circumstances where certain goods attracting nil rate of duty were exported, and Cenvat Credit was not to be denied. Consequently, the impugned order was set aside, and the appeal was allowed.

In conclusion, the Tribunal ruled in favor of the appellant, setting aside the impugned order and allowing the appeal based on the precedent and interpretation of relevant legal provisions regarding the simultaneous availment of benefits under the mentioned notifications.