9911796707
TMI Blog2014 (11) TMI 307X X X X Extracts X X X X X X X X Extracts X X X X ..... anufacture of Carbon Brushes falling under Chapter Heading 8545 2000 of Central Excise Tariff Act. Subsequently they surrendered EOU status on 23.02.2012 and became a DTA unit. At the time of de-bonding, the appellants had paid full appropriate duty on the imported/indigenous non-duty paid raw materials and capital goods lying in stock. After issue of final exit order by the Development Commissioner on 23.02.2012, the applicant has availed cenvat credit on the duty paid stocks of inputs and on the capital goods. A Show Cause Notice dated 23.05.13 was issued to the applicant for recovery of wrong availment of cenvat credit of Rs. 1,49,33,553/- in contravention of Rule 3 and Rule 9 of Cenvat Credit Rules. The Commissioner of Central Excise vi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... its that the department had accepted the fact of payment of duty at the time of de-bonding and issued no objection certificate and the same unit has become DTA unit and continued to carry out the manufacturing activity in the same premises, therefore, they are eligible for cenvat credit on the duty paid inputs and capital goods. If the capital goods or inputs whether imported or indigenous or procured from domestic market, they are eligible for cenvat credit. He relied upon the following decisions by the Tribunal in support of his contention:- 1. Krebs Biochemicals Ltd. Vs. CCE, Guntur 2001 (138) ELT 353 (Tri.- Chen.) 2. CCE, Pune Vs. Rajdhani Fab. Pvt. Ltd. 2008 (2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cts to avail cenvat credit on duty of excise and other duties, which is listed under clause (i) to (xi) in the said Rule and the first proviso to Sub-rue (1) of Rule 3, stipulates that the credit should be allowed on the duty paid on the capital goods at the time of de-bonding of the unit and in terms of para-8 of Notification No. 22/2003. Prima facie, the applicant has made out a strong case for waiver of pre-deposit relates to the interpretation of Cenvat Credit Rules and the proviso for availing cenvat credit on the capital goods at the time of de-bonding. This will be taken up for examination at the time of appeal hearing. 6. After taking into consideration of the submissions by both the sides and the case laws relied upon by the Ld. A ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
