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TMI Blog2016 (2) TMI 585X X X X Extracts X X X X X X X X Extracts X X X X ..... ne year. However, in so far as the credit taken for the period 2009-2010, the SCN has been issued within limitation period prescribed under Section 11A of the Central Excise Act. Thus as per the decision of the Larger Bench of the Tribunal in the case of Vandana Global Ltd. vs CCE Raipur [2010 (4) TMI 133 - CESTAT, NEW DELHI (LB) ] the appellant is liable to reverse cenvat credit attributable to such ineligible credit along with interest. Imposition of penalty under Rule 15(2) of the Cenvat Credit Rules 2004, read with section 11AC of the Central Excise Act 1944 is not justified in the facts and circumstances of the present case, especially in view of the fact that there was no element of suppression, misstatement, collusion, fraud etc., ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Sh. Abhishek Jaju appearing for the Appellant, submits that the disputed goods have been used as input for the thermal system pipeline support and bridging, which are the capital goods for the appellant. He further submits that the angles, channels and steel sheets have been used for making the tanks and its base in the thermal system pipeline and also the same have been used in making tanks for chilling system of machines installed in the plant. According to the Ld. Advocate, by nature of use of the disputed goods, the same should be considered as input, and as such, duty paid on those input goods are eligible for cenvat credit to the appellant. With regard to the limitation aspect, the submission of the Ld. Advocate is that since the per ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the circular dated 15.1.2002; the SCN has been rightly issued by invoking the extended period of limitation as contained in the proviso to section 11A of the Central Excise Act, 1944. 3. I have heard the Ld. Counsel for both the sides and perused the records. 4. The dispute regarding eligibility of cenvat credit on the steel items has so far not been attainted finality, and as such, there was scope for an assessee to entertain the reasonable belief that credit is permissible on the disputed goods. In case of conflicting decisions on the issue regarding entitlement to cenvat credit, the SCN should be confined to one year period for raising the demand. The extended period of limitation of five years cannot be invoked in absence of an ..... X X X X Extracts X X X X X X X X Extracts X X X X
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