2018 (10) TMI 1540

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..... f appeal that as per the appellant, the total amount credit to be reversed proportionately comes to 49,647/- which he has already reversed and therefore, the demand of 6% on the value of exempted services is not tenable. This needs to be remanded back to the original authority to verify whether the appellant has reversed the proportionate credit as claimed by him as per Rule 6(3A) of the CCR, 2004 - appeal allowed by way of remand.
MR. S.S GARG, JUDICIAL MEMBER Mr. Subramanya, CA, Shekar & Yathish For the Appellant Mr. K.B. Nanaiah, AR For the Respondent ORDER Per: S.S GARG The present appeal is directed against the impugned order dated 27.04.2018 passed by the Commissioner (Appeals) whereby the Commissioner (A) has rejected the .....

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..... 377; 3,48,963/- in terms of Rule 14 of the CCR, 2004 along with appropriate interest and also imposed equal penalty under Rule 15(2) of CCR, 2004. Aggrieved by the said order, the appellant filed an appeal before the Commissioner on the ground that option of 6% cannot be forced on the appellant whereas CCR has given three options to the appellant and further the amendment to Rule 6 vide Notification No. 13/2016 dated 01.03.2016 effective from 01.04.2016, providing the formula for reversal of credits, is retrospective in nature. Further, the stand of the appellant was that they have reversed the proportionate credit amounting to ₹ 49,647/-. 3. Heard both sides and perused the records of the case. 4. Learned counsel for the appellant .....

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..... of Mercedes Benz India (P) Ltd. Vs. CCE, Pune-I, 2015 (40) STR 381 wherein it has been held that there was no provision in Rule 6(3) ibid that if assessee does not opt for any option at any particular time, then option under Rule 6(3)(i) ibid of payment of 5% of value of trades goods will automatically be applied. 5. On the other hand, the leaned AR defended the impugned order. 6. After considering the submissions of both the parties and perusal of the material on record, I find that Rule 6 gives three options to the appellant to reverse the credit and it is the option of the assessee to choose any option which is beneficial to him if he is unable to maintain separate books of accounts and demanding 6% of the value of exempted goods and .....

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