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TMI Blog2014 (12) TMI 1269X X X X Extracts X X X X X X X X Extracts X X X X ..... ure of notified goods and also requiring that the duty on notified goods shall be paid in cash - The prohibition in Rule 15 of PMPM Rules is not in respect of ‘‘input service’’ as defined in Rule 2(l) of Cenvat Credit Rules, 2004, but is in respect of input services used for manufacture of the notified goods. Moreover, prima facie, there appears to be merit in the appellant’s plea that such retail pouches and 100 gm tins of pan masala are used by different section of consumers and advertisement for 100 gm. tins cannot be treated as having promoted the sale of retail pan masala pouches - Stay application allowed - decided in favor of the assessee. - E/50660/2014-EX(DB) - Stay Order No. 55139/2014 - Dated:- 23-12-2014 - Shri Rakesh Kuma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d Cenvat credit in respect of any capital goods, inputs or input services directly and exclusively used in or in relation to manufacture of panmasala in retail pouches and that the entire duty leviable on the panmasala manufactured in retail pouches of various MRPs by using panmasala procuring machines has been paid in cash as per the PMPM Rules, 2008. There is no disputes that the inputs and capital goods for manufacture of panmasala retail pouches and the panmasala 100 gm tin packs are separate. The dispute is only in respect of the advertisement and publicity service availed by the appellant which, according to appellant had been availed only for advertisement and sales promotion of the Rajnigandha panmasala sold in 100 gram tin pack ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cation. 3. Shri T.R. Rustagi, Advocate, the ld. Counsel for the appellant, pleaded, that firstly, the advertisements are only for sales promotion of the panmasala in 100 gram tin packs and the same are not in respect of the panmasala sold in retail packs, that the panmasala sold in retail pouches and the panmasala sold in 100 gram tin packs are two different products which are consumed by different sections of people and hence the Department s stand that the sales promotion and advertisement services received by the appellant have also promoted the sales of the panmasala sold in retail pack is not correct, and as such there is no justification for denying the Cenvat credit the proportion to the volume of clearance of panmasala in retail ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8 clearly prohibits Cenvat credit in respect of any input, capital goods or input services used for manufacture of the notified goods and that in view of this, in proportion to the clearances of the panmasala in retail pouches the appellant would not be eligible for Cenvat credit. He, therefore, pleaded that the appellant have not been able to establish prima facie case in their favour and hence this is not the case for waiver for the requirement of pre-deposit. 5. We have considered the submissions from both the sides and perused the records. 6. The undisputed facts are that the appellant manufacture panmasala in retail pouches of different MRPs in respect of which duty liability is being discharged under Section 3A of the Central Ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t. The point of dispute is as to whether the advertisement and sales promotion service, received by the appellant for advertisement of 100 gram tin pack of Rajnigandha panmasala, has also promoted the sales of Rajnigandha panmasala sold in retail packs in respect of which duty is required to be paid under PMPM Rules, 2008 and whether the Cenvat credit in respect of this service is to be disallowed in proportion to the sale of Rajnigandha panmasala in retail pouches. 7. From a perusal of this Rule 15 of PMPM Rules, 2008, it is clear that it is a non obstante provision prohibiting taking of Cenvat credit of any Central Excise Duty paid on any input and capital goods or service tax paid on any input service used for manufacture of notifie ..... X X X X Extracts X X X X X X X X Extracts X X X X
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