2014 (3) TMI 635 - AT - Central Excise

Waiver of pre-deposit of duty - Applicant used the input in the manufacture of exempted product - Held that - Rule 6 of CENVAT Credit Rules are not applicable on the by-products, which are exempt - applicant has made out a prima facie case for waiver of pre-deposit of entire amount of duty, interest and penalty - Following decision of Rallis India Ltd. Vs Union of India 2008 (12) TMI 46 - HIGH COURT BOMBAY - Stay granted.

Summary

The judgment by Appellate Tribunal CESTAT CHENNAI in 2014 (3) TMI 635 granted waiver of pre-deposit of duty of Rs.4,19,090/- along with interest and penalty for the period Jan.'07 to Jun'11 to an applicant engaged in manufacturing 'Gelatin'. The tribunal found that Rule 6 of CENVAT Credit Rules does not apply to exempted by-products based on the case of Rallis India Ltd. Vs Union of India. Stay application was allowed.