2015 (8) TMI 1461 - AT - Central Excise

CENVAT Credit - inputs/input services used for generation of electricity which is partly used by the appellant in their induction furnace and part of electricity was sold in market - Rule 6(3) of the Central Excise Rules, 2004 - Held that - In this case, admittedly, the appellant has already reversed the entire amount of input/input services used in generation of electricity, therefore, same is sufficient. Therefore, appellant is not required to pay any amount of the value of 8/10 % of electricity - appeal allowed - decided in favor of appellant.

Summary

The Appellate Tribunal CESTAT NEW DELHI ruled that the appellant is not required to pay an amount equal to 8/10% of the value of electricity sold outside, as the inputs/input services used in its generation were already reversed. The impugned order was set aside, and the appeal was allowed.