2015 (11) TMI 1406 - AT - Central Excise

CENVAT Credit - whether the appellant is eligible for the benefit of CENVAT credit of ₹ 1,20,542/- for the period from October 2006 to November 2010 in respect of welding electrodes which were used for maintenance and repair of plant and machinery - Held that - Since the Hon ble Supreme Court 2010 (11) TMI 34 - SUPREME COURT OF INDIA has referred the issue to the Larger Bench in view of the fact that there were contrary views earlier, the demand relating to extended period cannot be sustained. In this case, the show cause notice was issued on 23.12.2010 whereas the period for the demand relates to 1st October 2006 to November 2010. The entire demand is beyond the normal period of limitation and in view of the fact that there were several decisions in favour of the assessee during the period and matter has been referred to Larger Bench by the Hon ble Supreme Court, the appellant succeeds on limitation itself. - Decided in favour of assessee.

Summary

The appeal involved eligibility for CENVAT credit on welding electrodes used for maintenance. Stay was granted due to pending issue before Larger Bench. Demand beyond limitation period not sustained. Appeal allowed on ground of limitation.