9911796707
TMI Blog2016 (11) TMI 690X X X X Extracts X X X X X X X X Extracts X X X X ..... tification No. 30/2004-CE dated 9.7.2004. The Notification No. 29/2004-CE dated 9.7.2004 prescribed concessional rate of duty @ 4% of yarn without any condition and such the appellant has availed credit on the inputs. This exemption was availed in respect of yarn manufactured and cleared for export on payment of duty @ 4% and was being exported and refund claimed. However, Notification No. 30/2004-CE dated 9.7.2004 provided full duty exemption subject to the condition that no credit is taken on the inputs. This exemption being available in respect of intended use for domestic consumption. The appellant has not taken inputs duty credit in respect of the goods cleared at nil rate of duty under Notification No. 30/2004-CE ibid. 3. As the appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ring period of dispute, the clearances for domestic consumption had been made by the appellant at nil rate of duty by availing the Notification No. 30/2004-C.E. and clearances for export had been made on payment of 4% duty under Notification No. 29/2004-C.E. There is also no dispute that during the period of dispute no input duty credit had been availed and only capital goods Cenvat credit had been availed in respect of which there is no prohibition in Notification No. 30/2004-C.E. Thus the appellant even in respect of clearances made under Notification No. 29/2004-C.E. also, had not availed input duty credit/ though in respect of these clearances, they could have availed the input duty Cenvat credit. The point of dispute is as to when the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at nil rate of duty under Notification No. 30/2004-C.E. and when two exemption Notifications after available to an assessee, he can always opt for the Notification which is most beneficial for him and in this regard the Department cannot force the assessee to avail a particular exemption Notification, Looked at from this point of view the Department's stand is incorrect. 6.2 Since during the period of dispute the appellant was cleaning the goods by availing full duty exemption as well as on payment of duty, the capital goods cannot be treated as having been used exclusively in the manufacture of exempted goods and Cenvat credit in respect of the same cannot be denied. 7. As the issue is squarely covered by the decision of this Tribun ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
