9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2003 (10) TMI 242 - AT - Central Excise
Issues: Disallowance of deemed Modvat credits under Notification No. 58/97-C.E.
Analysis: 1. The lower authorities disallowed deemed Modvat credits amounting to Rs. 40,962.48 to the appellants due to non-fulfillment of conditions of Notification No. 58/97-C.E., dated 30-8-97. 2. The appellants took deemed Modvat credit based on invoices from M/s. Sahara Steel Rolling Mills and M/s. Dhiman Industries Ltd. The 'Sahara' invoice had a declaration of duty debited under Rule 96ZP, while the 'Dhiman' invoice stated duty liability to be discharged under Rule 96ZP(3). 3. The appellants produced certificates from both companies confirming duty payment. The lower authorities denied the credits citing non-fulfillment of conditions under the Notification, a decision upheld by the Commissioner (Appeals). 4. The appellants argued that there was no requirement for a certificate from the Central Excise Range officer for the 'Dhiman' invoice and that the 'Sahara' invoice met the Notification requirements. The lower appellate authority's decision was challenged based on relevant case law. 5. The Tribunal found that the 'Sahara' invoice met the Notification requirements, and the certificates produced by the appellants supported duty payment. The denial based on interest payment was deemed incorrect as it was not a condition under the Notification. 6. However, the credit under the 'Dhiman' invoice was not allowed as the declaration did not meet Notification requirements. The appellants were given an opportunity to provide the necessary certificate from the Central Excise Range officer for reevaluation. 7. The Tribunal set aside the lower authorities' orders, allowed the credit of Rs. 18,852.48, and remanded the decision on the remaining credit of Rs. 22,110/- for further adjudication with the opportunity for additional evidence. 8. The appeal was allowed with directions for reevaluation in accordance with the law and principles of natural justice, ensuring the party's right to present additional evidence.
|
