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TMI Blog2017 (6) TMI 468X X X X Extracts X X X X X X X X Extracts X X X X ..... eal No. 3018 of 2007 - FINAL ORDER NO. 53316/2017 - Dated:- 16-5-2017 - Mr. (Dr.) Satish Chandra, President and Mr. V. Padmanabhan, Member (Technical) Rep by Ms. Rinki Arora, Adv. Rep. by Sh. M.R. Sharma, DR ORDER The present appeal is filed against the order-in-appeal no. 132-133-CE/MRT-II/2007 dated 26.06.2007 passed by the Commissioner (Appeals) Central Excise, Meerut-II. 2. The Appellants were engaged in the manufacture of Duplex Paper Board under Chapter 48. The period of dispute is April 2002 to July 2003, during which the Appellants purchased certain capital goods and availed Cenvat Credit thereon and utilized it for payment of excise duty on the final products cleared during the above period. The total Cenvat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... availed the Cenvat Credit during the period April 2002 to July 2003. It is pertinent to note that at the time of procurement of the capital goods, the Appellants were manufacturing and clearing the finished products on payment of duty. Consequently, the Cenvat Credit on capital goods is allowable during the said period. The fact that from a subsequent date i.e. 07.08.2003 the Appellants opted for and started availing area base exemption will not disentitle them to the Cenvat Credit already availed. We find support for this view in the decision of the Larger Bench of this Tribunal in the case of Commissioner of Central Excise, Rajkot vs Ashok Iron Steel Fabricators, 2002 (140) ELT 277 (Tri.-LB) , wherein the Tribunal has held that : ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ularly taken, in which event it stands cancelled or, if utilised, has to be paid for. We are here really concerned with credit that has been validly taken, and its benefit is available to the manufacturer without any limitation in time or otherwise unless the manufacturer itself chooses not to use the raw material in its excisable product. The credit is, therefore, indefeasible. It should also be noted that there is no co-relation of the raw material and the final product; that is to say, it is not as if credit can be taken only on a final product that is manufactured out of the particular raw material to which the credit is related. The credit may be taken against the excise duty on a final product manufactured on the very day that it beco ..... X X X X Extracts X X X X X X X X Extracts X X X X
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