9911796707
TMI Blog2018 (6) TMI 1480X X X X Extracts X X X X X X X X Extracts X X X X ..... amount of Central Excise duty paid on the scrap generated at jobworkers premises - Held that:- The provision of Section 11AC of the Central Excise Act, 1944 and Rule 13 of Central Excise Rules, 2002 were not made applicable to the demands raised for reversal of an amount equivalent to 8% of the value of the exempted goods cleared when CENVAT Credit is availed on common inputs and input services - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ns of Section 11AC of the Central Excise Act and also under Rule 13 of Cenvat Credit Rules, 2004. 4. On perusal of records, it is noticed that the allegations against the appellant herein were regarding non-payment of amount equal to 8% of the total value of exempted final goods having manufactured by availing CENVAT credit of service tax of duty / tax paid on input services and inputs and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... remand proceeding. It is noticed that the first appellate authority has upheld the imposed of penalty holding that appellant had not denied the duty liability on both the issues at the time of adjudication. In my considered view, not contesting the demands cannot per se be stated to have been acceptance of the clearances with intention to evade payment of duty which would mandate equivalent amoun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ot made applicable to the demands raised for reversal of an amount equivalent to 8% of the value of the exempted goods cleared when CENVAT Credit is availed on common inputs and input services. This position of law has not been appreciated by both the lower authorities. In absence of any provision in the statute, in my opinion, imposition of penalty equivalent to the amount cannot be upheld. On th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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