2008 (8) TMI 160 - AT - Central Excise

Revenue allege that only invoices were issued by supplier without actual supply of goods and the credit availed by the respondents on the basis of such invoices was not proper revenue allege that premises of exporter was never in control, possession of exporter held that for availment of credit it is not necessary that a person so registered must have premises of his own credit cannot be denied credit eligibility not depends on assessee having own premises

Summary

Issues:
Appeal against rejection of rebate claim for exported goods based on alleged non-supply of goods by the supplier.

Analysis:
The case involved an appeal by the Revenue against the rejection of their appeal by the Commissioner (Appeals) regarding the rebate claim for exported polyester dyed & printed fabrics. The Revenue suspected that M/s. Mahavir Trading Company only issued invoices without supplying goods, leading to improper credit availed by the respondents. However, the Original Adjudicating Authority sanctioned the rebate claims, stating that the goods were actually exported, duty was paid, and the Revenue lacked a case. The Revenue's appeal was rejected by the Commissioner (Appeals) and further appealed to the Tribunal.

The Commissioner (Appeals) rejected the Revenue's appeal primarily on the grounds that the Revenue's case relied on the premise that M/s. Mahavir Trading Company did not have control, possession, or ownership of the premises, which was deemed unnecessary for exporting goods. The Revenue cited a report from the Superintendent at the Range office, which was not presented before the Asst. Commissioner, Commissioner (Appeals), or the Tribunal. The Tribunal, after reviewing the Commissioner (Appeals)'s detailed order, found no issues with it and consequently dismissed the Revenue's appeal.

In conclusion, the Tribunal upheld the decision of the Commissioner (Appeals) to reject the Revenue's appeal, emphasizing that the premises ownership by M/s. Mahavir Trading Company was not a crucial factor for exporting goods. The lack of presentation of the Range Office report at earlier stages of the case worked against the Revenue's arguments, leading to the dismissal of their appeal.