2013 (6) TMI 323 - AT - Central Excise

Supplies to SEZ from DTA - Clearance to be treated as dutiable goods or exempted goods - as per revenue appellants are liable to pay 10% of the price of the goods cleared at nil rate of duty as per the provisions of Rule 6 of Cenvat Credit Rules - Held that - As decided in Sujana Metal Products Ltd. v. CCE Hyderabad (2011 (9) TMI 724 - CESTAT BANGALORE) supplies from DTA unit to developer in SEZ are covered under the provisions of Rule 6 of Cenvat Credit Rules 2004 in view of the amendment to Rule 6(6) of Cenvat Credit Rules with effect from 31.12.2008 as the same has retrospective effect. Thus appeal is allowed & appellants are entitled to consequential relief.

Summary

The Appellate Tribunal CESTAT NEW DELHI, in the case of the appellant against the Commissioner (Appeals) order, allowed the appeal. The appellant, engaged in manufacturing goods, cleared goods to SEZ developer without duty payment. The Tribunal held that the appellant is not liable to pay 10% of the price of goods cleared at nil rate of duty as per Rule 6 of Cenvat Credit Rules, citing a previous case decision. The impugned order was set aside, and the appellant is entitled to consequential relief.