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TMI Blog2016 (1) TMI 1011X X X X Extracts X X X X X X X X Extracts X X X X ..... that:- There is no time limit prescribed under Cenvat Credit Rules, 2002 during the impugned period, therefore the appellant is entitled to take credit. Decided in favour of the appellants. - Appeal No. E/3217/2006-EX(DB) - - - Dated:- 8-12-2015 - Ashok Jindal, Member (J) And Raju, Member (T) For the Appellant : Ms Kirti Somani, Adv For the Respondent : Shri R K Mishra, AR ORDER Per Ashok Jindal The appellant is in appeal against the impugned order wherein cenvat credit lying unutilized in stock on 1.3.2003 was denied to the appellant. 2. The facts of the case are that the appellant is manufacturer of medical disposal syringes and was paying duty on their final product by not availing cenvat credit on the inputs ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and (b) the appellant has not availed credit within reasonable time, therefore, they are not entitled to take credit. She submitted that both the issues have been decided by the Tribunal in the case of Eastern Medikit Ltd. vs.CCE - 2013 (288) ELT 423 (Tri.-Del.) and SAIL vs. CCE - 2013 (287) ELT 321 (Tri.-Del.) respectively. Therefore, the impugned order is set aside and the appeal be allowed. 4. On the other hand, learned DR reiterated the findings in the impugned order. 5. Heard the parties and perused the records. 6. After hearing the parties, we frame two issues in this case for consideration: (a) Whether the appellant is entitled to take credit under Rule 3(2) of Cenvat Credit Rules, 2002 by way of availing the benefit of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... % to 8% ad valorem and the condition of non-availment of Cenvat credit by the assessee was done away with. Cumulative reading of the above referred two notifications clearly indicate that w.e.f. 1-3-2003 the exemption from excise duty on its final product available to the appellant prior to 1-3-2003 was partially withdrawn to the extent of 4% ad valorem by increasing the excise duty from 4% to 8%. Thus, in our view to that extent the final product of the appellant ceases to be exempted from excise duty. As such, the case of the appellant Is squarely covered under Rule 3(2) of the Cenvat Credit Rules, 2002 which is reproduced below:- (2) Notwithstanding anything contained in sub-rule (1), the manufacture or producer of the final product ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... envat credit either under Rule 3(1) or Rule 3(2) of Cenvat Credit Rules, 2002. Accordingly, the issue No.(a) is decided in favour of the Appellant. 8. The issue (b) has been answered by this Tribunal in the case of SAIL (supra) wherein this Tribunal has observed in paras 7,8 and 9 of its judgment which read as under:- 7. In this regard, sub-rule (1) of Rule 4 of the Cenvat Credit Rules, 2004 reads as under:- The cenvat credit in respect of the inputs may be taken immediately on receipt of the inputs in the factory of the manufacturer a the premises of the provider of output services. 7.1 There are similar provisions in Cenvat Credit Rules, 2002 and Central Excise Rules,1944. 8. From a plain reading of the above provi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of India Ltd. Vs. CCE reported in 2001 (129) ELT 459 (Tribunal-Delhi) and Tamilnadu Petroproducts Ltd. Vs. CCE reported in 2003 (160) ELT 199 (Tribunal-Chennai). Moreover in this case there was a valid reason also for not taking the credit during April, 2000 to December 2006 period, as the judgements of the Apex Court and the Tribunal on the issue of eligibility for cenvat credit of the inputs used in the mines were against the appellant and this issue was ultimately decided in the appellants favour sometimes in 2008. The judgement of the Single Bench of the Tribunal in the case of J.V. Strips Ltd. (supra) is not based on correct interpretation. 9. As we find that there is no time limit prescribed under Cenvat Credit Rules, 2002 durin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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