9911796707
TMI Blog2005 (1) TMI 500X X X X Extracts X X X X X X X X Extracts X X X X ..... d 8-7-1999. This claim was rejected by the lower authority on the grounds : According to the Deputy Commissioner in terms of para 1A of Notification No. 65/03-C.E., dated 6-8-2003, the appellant is not eligible for the refund of Rs. 9,57,150.00 during August 03 since they had a balance of Rs. 17.00 and Rs. 12,98,548.00 in their Cenvat Credit accounts because in terms of that notification the appellant should have first utilised the whole of the Cenvat Credit available to him on the last day of the month. The appellant contended that they were unaware of amendment made by Notification No. 65/203-C.E., dated 6-8-2003 till receipt of Deputy Commissioner s order. They also submitted that since the amendment was brought on 6-8-2003, the refun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llowing provisions as brought in by an amendment No. 65/03-C.E., dated 6-8-2003 to amend Notification No. 33/99-C.E. is considered. The amendment reads as follows : 1A. In cases where all the goods produced by a manufacturer are eligible for exemption under this notification, the exemption contained in this notification shall be available subject to the condition that, the manufacturer first utilizes whole of the Cenvat credit available to him on the last day of the month under consideration for payment of duty on goods cleared during such month and pays only the balance amount in cash . The plain reading of the above said amendment vide Notification No. 65/03 would indicate that the appellant should have utilised whatever credit were ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Thus, the amount of capital goods lying unutilised cannot be taken into account for allowing the refund claim. Second proviso to sub-rule (3) of Rule 3 of Cenvat Credit Rules, 2002 says that the Cenvat Credit of the duty paid on the inputs used in the manufacture of final products cleared after availing the exemption Notification No. 33/99-C.E. dated 8-7-1999 shall be utilised only for payment of duty on final product cleared availing of the exemption under the said Notification. Hence, in terms of para 1A of the Notification No. 65/03-C.E., dated 6-8-2003, the manufacturer first utilises whole of the Cenvat Credit of the duty paid on the inputs used in the manufacture of final product. Thus, there is no scope to take into account of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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