9911796707
TMI Blog2017 (11) TMI 817X X X X Extracts X X X X X X X X Extracts X X X X ..... had sufficient balance in the CENVAT credit account and they have not utilised the CENVAT credit and therefore in view of the provisions of Rule 14(1)(i), appellants are not liable to pay interest and the interest paid by them is liable to be returned to them. Appeal allowed - decided in favor of appellant. - E/20858/2017 - 22427/2017 - Dated:- 9-10-2017 - Shri S.S Garg, Judicial Member Shri Ramasubramanian, S., Chartered Accountant, For the Appellant Shri N. Jagadish, Superintendent(AR), For the Respondent ORDER Per: S.S GARG The present appeal is directed against the impugned order dt. 22/03/2017 passed by the Commissioner(Appeals) whereby the Commissioner(Appeals) has rejected the appeal of the appella ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mitted that the impugned order is not sustainable in law as the same has been passed by wrongly misinterpreting the provisions of Rule 3(5B) and Rule 14 of the CENVAT Credit Rules, 2004. He further submitted that the provision to write off the value of inputs in the books of accounts cannot be made as on 31/03/2015 itself as this requires evaluating complete inventory and work in progress as on 31/03/2015. He also submitted that in the journal entry for writing off the value of the inputs was passed on 19/11/2015, the effective date is 31/03/2015 only inasmuch as the entry has been given effect to the balance sheet as on 31/03/2015. He also submitted that in practice, the provision entry to write off the value of the input is generally pass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2,115/-. He also submitted that since the balance lying in the CENVAT credit account is more than the duty to be reversed, interest under Rule 14 of the CCR is not liable to be paid. 5. On the other hand learned AR reiterated the findings of the impugned order. 6. After considering the submissions of both the parties and perusal of material on record, I find that as per Rule 14(1)(i) of the CCR where CENVAT credit has been wrongly availed but not utilised, the same shall be recovered and the provisions of Section 11A of the Central Excise Act or Section 73 of the Finance Act shall apply mutatis mutandis for recovery of such amount. Further I also find that as per Rule 14(1)(ii), where the CENVAT credit has been taken wrongly and has b ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
