2016 (6) TMI 470

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..... ds that credit having been utilized by the appellant for payment of duty for their final product and thus not require any further reversal. It has been the subject matter of various decisions that once the duty of Excise is paid by utilizing the credit availed by an assessee, the same would amount to reversal of credit and there can be no requirement of any further reversal. Reference in this r .....

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..... s been reversed along with interest even before the issue of show-cause notice, we find no justifiable reason to impose penalty on the appellant and also on the Managing Director. The penalty is accordingly set aside - E/633/2011-DB & E/634/2011-DB - Final Order Nos. 20296 & 20297/2016 - Dated:- 29-2-2016 - Smt. Archana Wadhwa, Judicial Member and Shri Ashok K. Arya, Technical Member .....

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..... duty of Excise by utilizing the said availed credit. 2. Revenue has no objection till the point of manufacture of plastic barrels on job-work basis. However, their objection is that inasmuch as the process carried out by the appellant on the said barrels does not amount to manufacture, they are not entitled to avail Cenvat credit of Excise duty paid by the principal manufacturer. Accord .....

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..... f the Tribunal in the case of Asian Colour Coated Ispat Ltd. Vs. Commissioner of C. Excise., Delhi-III [2015 (317) E.L.T. 538 (Tri.-Del.)] where there was difference of opinion between two original Members of the Bench and the issue was resolved by a third Member. After discussing the entire case laws, it was held that the credit availed on the inputs which were allegedly used for payment of d .....

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..... rocedural lapse and inasmuch as the credit has been reversed along with interest even before the issue of show-cause notice, we find no justifiable reason to impose penalty on the appellant and also on the Managing Director. The penalty is accordingly set aside. Both the appeals are decided in above manner. (Pronounced and dictated in open court) - - TaxTMI - TMITax - Central E .....

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