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TMI Blog2013 (10) TMI 802X X X X Extracts X X X X X X X X Extracts X X X X ..... f the Central Excise Act, 1944 and penalty of equal amount under Rule 15(2) of the CENVAT Credit Rules, 2004. The issue involved in this case, is eligibility of CENVAT credit on Education Cesses paid on CVD and the Additional Customs Duty paid under Section 3(5) of the Customs Tariff Act (SAD) in respect of the inputs received from 100% EOUs. The period of dispute is Apri.'07 to 6th Sept.'09. 2. The learned counsel on behalf of the applicant submits on an identical issue, the Tribunal decided appeals in favour of the applicant. The relevant case laws are as under :- (i) Tyche Industries Ltd, Kakinada (A.P.) Vs Commissioner of Central Excise, Visakhapatnam. (ii) Shreya Pets Pvt. Ltd. Vs Commissioner of Customs & ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s of formula specified in the said Rules. The Tribunal in the above decisions held that the term ' CVD ' referred in the formula would cover additional duty both leviable under Section 3(1) and 3(5) of the Customs Tariff Act and Education Cesses. In this context, we reproduce the relevant portion of the decision of the Tribunal in the case of M/s. Venkateshwara Precision Components (referred to in Para 2 above): "7. I have carefully considered the submissions from both sides and perused the records. In the present case, the unit which has supplied the inputs is a 100% EOU and the duties leviable on goods cleared from such units is as per proviso to Section 3 of the Central Excise Act, 1944, which reads as under :- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le under sub-section (5) of section 3 of the Customs Tariff Act............ In respect of inputs procured from 100% EOU, and Cenvat Credit Rules provides for taking credit based on a formula prescribed under Rule 3(7) of the Cenvat Credit Rules, 2004. The dispute is whether the term CVD used in the said" sub-rule 3(7) refers only to additional duty leviable under Section 3(1) of the Customs Tariff Act or that the same also includes the additional duty leviable under sub-section 3(5) of the Customs Tariff Act. Undoubtedly, from 1.3.05, if the inputs were imported, the manufacturer would be eligible for cenvat credit of duties paid under section 3(1) and section 3(5) of the Customs Tariff Act, 1975. Under the circumstances, ther ..... X X X X Extracts X X X X X X X X Extracts X X X X
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