9911796707
TMI Blog2011 (2) TMI 669X X X X Extracts X X X X X X X X Extracts X X X X ..... revailing Rule of that date will prevail immaterial of the duty paid nature of the goods which cleared earlier on payment of duty - Moreover, the documents based on which the cenvat credit was taken omitted from Rule 7 of the Cenvat Credit Rules, 2002 vide Notification No. 12/2004-C.E. (N.T.), dated 9-7-04 - The applicant was not entitled to take cenvat credit after 8-7-04 and therefore debit of such wrongly taken cenvat credit cannot be considered as payment of duty in respect of impugned ARE-1s - Therefore, the applicant is not entitled for the rebate of duty under Rule 18 of Central Excise Rules, 2002 on the goods imported. - 195/629/2009-RA - 114/2011-CX - Dated:- 11-2-2011 - Shri D.P. Singh, J. Shri R.V. Shetty, Advocate, for th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion No. 11/2004-C.E. (N.T.), dated 9-7-04 and the applicant were not entitled to the benefits as deemed manufacturer under the said Rule 12B ibid, they were asked to provide the details such as the closing stock of grey manmade fabrics lying with them, the closing balance of cenvat credit available in RG 23A Part (ii) account as on 8-7-04, the quantity of purchases made thereafter and the amount of cenvat credit availed thereon, during the course of visit of Central Excise Officers to the office premises of the applicants on 11-5-05. Applicant provided the aforementioned details as desired by the department. It was observed that the applicant had a closing stock of 436185.47 Lmtrs. of grey manmade fabrics and a closing balance of cenvat cr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ect of AG-8) was paid from fresh credit of central excise duty of Rs. 7,58,658/- availed on the input fabrics received in the factory of job worker after 8-7-04 in respect of ARE-1 No. AG-9 dated 3-8-04, the entire central excise duty of Rs. 1,90,906/- (cenvat) and Rs. 3,802/- (education cess) totally amounting to Rs.1,93,906/- was paid from fresh credit of central excise duty of Rs.7,58,658/- availed by them on the input fabrics received in the factory of job worker after 8-7-04. Therefore, show cause notice dated 11-7-06 was issued to them for contravention of the provisions of Rule 3 of Cenvat Credit Rules, 2002 in as much as they availed the cenvat credit totally amounting to Rs. 758658/- on 997375.40 Lmtrs. of grey man made fabrics whi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ive in the international market. The most widely accepted method of relieving such goods of the said burden is the scheme of rebate. Thus in order to make Indian goods competitive in the International market, the tax element in the exporter s cost is refunded to him through the system of rebate. We have claimed the duty rebate of the duty paid on the fabrics. The rebate is not any kind of benefit given to the exporter. This is only a reimbursement. Therefore, a genuine rebate claim should not be denied only on silly technical grounds as is done by the adjudicating authority in the present case. This is nothing but discouraging export. 4.2 That the whole case is made on only one issue that the applicants have received the grey fabrics on o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o 9-7-04 but received on or after 9-7-04 is entitled for cenvat credit. Therefore, the credit taken is valid in all respect. Denial is not proper and correct. 4.3 Further it is the policy of the Government that duty should not be exported along with the goods. In view of the same their rebate claims is proper and in order. The goods cleared under ARE-1s were duly exported and the remittances also received by the applicants for these exports. All the documents in original have been submitted as required before the Assistant Commissioner. 4.4 That the denial of cenvat credit and rejection of rebate claim when there is no suppression etc. by the Asstt. Commissioner is not correct and proper. Further these claims are filed on the following ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... E.L.T. 726 (GOI) - Rebate claims should not be rejected on technical grounds. 5. The case was listed for personal hearing on 6-12-10 at camp office in Mumbai. Shri R.V. Shetty, Advocate appeared on behalf of the applicant and reiterated the grounds of revision application. 6. Government has considered both oral and written submission of the applicant and also perused the orders passed by the lower authorities. 7. From the perusal of records, Government observes that the applicant was working under Rule 12B of the Central Excise Act, 2002. The said Rule was abolished on 8-7-04. The applicant received the duty paid fabrics in their factory on or after 9-7-04 and took cenvat credit on these goods and they cleared the goods for export on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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