2017 (12) TMI 826

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..... crete mixer, concrete batching mixer, vertical dynamic balancing machine etc. falling under chapter sub heading 84743100 and 90318000 of Central Excise Tariff Act, 1985. The appellants are availing credit of duty paid on inputs, input services and capital goods as per CENVAT Credit Rules, 2004. The appellants are availing credit of duty paid on inputs, input services and capital goods as per CENVAT Credit Rules, 2004. The appellants have maintained separate account of inputs utilised in the manufacture of dutiable goods and exempted goods. Whenever they clear the goods availing exemption of duty under any notification, if separate accounts for receipt, consumption and inventory are not maintained, they are reversing 10% of the value of exem .....

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..... re the Commissioner(Appeals) who rejected the same. Hence the present appeal. 3. Heard both the parties and perused records. 4. Learned counsel for the appellant submitted that the impugned order is not sustainable in law as the same has been passed without appreciating the provisions of the act. He further submitted that the impugned order is contrary to the decisions rendered by this Tribunal and the High Court. He further submitted that the provisions of Rule 6(2) of CENVAT Credit Rules, 2004 provides for maintenance of separate account only in respect of inputs used in the manufacture of exempted final products and not in respect of input services used in the manufacture of exempted final products. Therefore according to the counsel f .....

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..... o the correct legal position. Hence the longer period of limitation is not invocable and consequently, the impugned order is liable to be set aside. For this submission, he relied upon the decision of the Tribunal in the case of CCE, Chennai Vs. Gayatrishakti Paper & Boards Ltd. [2013(294) ELT 260 (Tri. Ahmd.)] 5 On the other hand, the 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 6(2) of CENVAT Credit Rules, 2004, separate accounts is required to be maintained only in respect of inputs used in the manufacture of exempted final products and not in respect of input services used in the manufacture of exempted fina .....

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