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TMI Blog2017 (12) TMI 1201X X X X Extracts X X X X X X X X Extracts X X X X ..... see would not by itself permit the Department to insist on reversal of the credit particularly when such goods were still available in the factory in usable condition. Relying on the aforesaid decision of Hon'ble High Court Appeal no.E/86187/17 is allowed - In respect of Appeal no.E/86188/17 Commissioner (Appeals) has not given any finding on the issue in dispute. The matter is remanded to the Commissioner (Appeals) for decision on the issue covered in the dispute. Appeal allowed in part and part matter on remand. - E/86187 & 86188/17 - A/91056-91057/2017 - Dated:- 29-11-2017 - Shri Raju, Member (Technical) Shri Rajesh Ostwal, Advocate for the appellant Shri M. Suresh, AC (AR) for the respondent ORDER Per: Ra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... said input or capital goods is subsequently used in the manufacture of final products or the provision of taxable services, the manufacturer or output service provider, as the case may be, shall be entitled to take the credit of the amount equivalent to the CENVAT credit paid earlier subject to the other provisions of these rules. After 01.03.2011 Rule read as follows:- (5B) If the value of any, (i) input, or (ii) capital goods before being put to use, on which CENVAT credit has been taken is written off fully or partially or where any provision to write off fully or partially has been made in the books of account then the manufacturer or service provider, as the case may be, shall pay an amount equivalent to the CENVA ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... entitled to diminish value of certain stock held over a period longer than specified period, it does not have any correlation with availability of physical stock for manufacturing - There was significant difference in accounting approach for income-tax purpose and for stock maintenance for manufacturing under Excise law - Mere diminishing of value of goods in books of account could not itself permit Department to insist on reversal of credit, particularly when such goods were still available in factory in usable condition - Even otherwise, erstwhile Central Excise Rules, 1944 did not envisage any period within which input must be consumed - Rule 57F ibid thereof did not envisage reversal of Cenvat credit before removal of goods - C.B.E. C ..... X X X X Extracts X X X X X X X X Extracts X X X X
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