2014 (4) TMI 262 - HC - Central Excise

Option for payment of duty - SSI Exemption - whether the assessee has the option to avail exemption or pay duty on the final product by taking MODVAT credit on inputs in terms of Rule 57A of the Central Excise Rules, 1944 - Held that - Following decision of COMMISSIONER OF CENTRAL EXCISE Vs. M/S GRAND CARD INDUSTRIES & ORS 2014 (4) TMI 258 - DELHI HIGH COURT - assessee would have the option either to avail the option in terms of the notification or pay duty on the final product by taking MODVAT credit on the inputs in terms of Rule 57A - decided against Revenue.

Summary

The Delhi High Court allowed the applications for exemption, condonation of delay, and restoration of the main case. The reference under Section 35G (1) of the Central Excise Rules involved the option for the assessee to avail exemption or pay duty on the final product by taking MODVAT credit on inputs. The Court referred to a similar case where the assessee was allowed the same option, ruling in favor of the assessee and against the Revenue.