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TMI Blog2018 (3) TMI 691X X X X Extracts X X X X X X X X Extracts X X X X ..... TMI 57 - GUJARAT HIGH COURT], where it was held that a manufacturer would be entitled to avail the cenvat credit in respect of the inputs used for the manufacture of a final product or in providing taxable service of the excise duty specified in First Schedule to the Excise Tariff Act - appeal allowed - decided in favor of appellant. - Appeal No. E/10257/2018 - ORDER No. A/10475 / 2018 - Dated:- 26-2-2018 - Dr. D. M. Misra, Hon'ble Member (Judicial) For the Appellant : Shri J. Surti, Advocate For the Respondent : Shri S. N. Gohil, AR ORDER Per : Dr. D. M. Misra Heard both sides. 2. This is an appeal filed against the order-in-appeal No. CCESA-SRT/(APPEALS)/PS-71/2017-18 dated 30.10.2017 passed by Commissione ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the credit on the same. He submits that the amount of service tax paid by the service provider cannot be considered as a deposit as held by authorities below in considering the eligibility of credit in view of the judgment of the Hon ble Gujarat High Court in the case of Commissioner of Central Excise Ahmedabad - III vs Nahar Granites Ltd. 2014 (305) ELT 9(Guj.) It is his contention that once the service tax was paid and the invoices issued indicating the payment of such service tax, the appellant are eligible to take credit of the service tax paid as the said services are used in or in relation to manufacture of finished goods. Also he has referred to the judgment of this Tribunal on similar issue in the case of Sunil Steels vs CCE 201 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Cenvat Credit Rules, 2004 allows a manufacturer or producer of final product or a provider of taxable service to take Cenvat credit of the duty of excise specified in the First Scheduler to the Excise Tariff Act. Rule 4 of the Cenvat Credit Rules, 2004 lays down the conditions for allowing Cenvat credit. Sub-rule (1) thereof provides that Cenvat credit in respect of inputs may be taken immediately on receipt of the inputs in the factory of the manufacturer or in the premises of the provider of output service. Proviso to sub-rule (1) puts certain limitations on such immediate availability of Cenvat credit. We are however, not concerned with the proviso. 8. In terms of Rules 3 and 4 of the Cenvat Credit Rules, 2004, a manufacture ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the final product was depressed, it could have charged the original manufacturer unit in under-invoicing their product. This was however, not done. Valuation was duly approved and the payment of duty was also accepted. The Tribunal further observed that We find absolutely no substance in the attempt of the learned Commissioner to convert a part of the duty so paid into deposit of duty. There is no legal basis for such presumption. The rules entitled the receipt manufacturer to avail of the benefit of the duty paid by the supplier manufacturer. A quantum of duty already determined by the jurisdictional officers of the supplier unit cannot be contested or challenged by the officers in charge of recipient unit. 7. In view of the above pri ..... X X X X Extracts X X X X X X X X Extracts X X X X
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