9911796707
TMI Blog2017 (9) TMI 344X X X X Extracts X X X X X X X X Extracts X X X X ..... xclusively used in unit engaged in the manufacture of exempted goods - appeal allowed - decided in favor of appellant. - Excise Appeal Nos.57608-57609 & 58179 of 2013 - A/55565-55567/2107-EX[DB] - Dated:- 24-7-2017 - Mr. (Dr.) Satish Chandra, President And Mr. Ashok k. Arya, Member (Technical) (Rep by Sh. Hemant Bajaj, Adv.) for the Appellant (Rep. by Sh. H.C. Saini, DR) for the Respondent ORDER Per: (Dr.) Satish Chandra All these appeals are filed by the assessee-Appellants against the Order-in-Appeal No.9-10/2013(CE)-Commr dated 31.01.2013; and 9/Commr/Ind/CEX/2013 dated 25.03.2013 respectively passed by the Commissioner of Central Excise, JaipurI. The period in dispute is April 2006 to April 2011. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... red the rival contentions and on perusal of the records, we find that the Original Authority has specifically relied on provisions of Clause (d) of Rule 7 of the Cenvat Credit Rules, 2004 for confirmation of demand whereas no such provision has been invoked in the said Show Cause Notice because during the material period such provisions did not exist on statute. We further find that in Para 14 15 of the said Show Cause Notice a methodology was adopted for distribution of Cenvat credit into admissible and inadmissible credit on the basis of turnover. We do not find any provision of law for doing so. We further find that Clause (b) of Rule 7 of the Cenvat Credit Rules, 2004 that existed during material time provided that such Cenvat credit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... levant time) only enforces the condition that credit of service tax attributed to services used in units exclusively engaged in the manufacture of exempted goods or providing exempted services shall not be distributed. The appellant s four manufacturing units are covered by area based exemption and no such duty is payable on the goods manufactured there. However, there is nothing on record to suggest that any of the services have been used only in the units manufacturing exempted goods. In fact, the nature of services tells us that these are used at the level of corporate of the manufacturing units of the assessee. Under the circumstances, restricting the distribution of Cenvat credit in terms of Rule 7 is not justifiable. The restrictions ..... X X X X Extracts X X X X X X X X Extracts X X X X
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