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TMI Blog2019 (6) TMI 72X X X X Extracts X X X X X X X X Extracts X X X X ..... dered by the authorities below while deciding the matter, therefore without going any further in the merits of the matter and following the decision as aforesaid, I am inclined to remand the matter to the Adjudicating Authority. Appeal allowed by way of remand. - ST Appeal No. 88234 of 2018 - A/86042/2019 - Dated:- 29-5-2019 - MR. AJAY SHARMA, MEMBER (JUDICIAL) Shri Mr Mahesh Raichandani, Advocate for the Appellant Shri Mr. S.B. Mane, Authorised Representative for the Respondent ORDER AJAY SHARMA: Order dated 25.03.2018 passed by the Commissioner of CGST Central Excise, Mumbai in Order-in-Appeal No. SM/CGST CX/BHIWANDI/APP/ 117/17-18 h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... March, 2014 alongwith interest and penalty. The Adjudicating Authority vide Order-in-Original dated 27.12.2016 confirmed the demand of wrongly availed Cenvat Credit of ₹ 17,15,866/- u/r.14 ibid r/w section 78 of Finance Act, 1994 alongwith interest and penalty of equivalent amount and appropriated the amount of ₹ 1,92,917/- already paid by the appellant towards the demand and ₹ 806/- paid towards interest by assessee. On the appeal filed by the Appellant, the learned Commissioner vide impugned order dated 27.12.2016 rejected the same. 3. According to learned counsel, the Appellants have already reversed the Cenvat Credit before the issuance of show cause notice but there is no finding in the impugned order ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ther decisions of the High Court as well as the Tribunal has held that once Cenvat credit is reversed, it is to be considered ab initio not availed. In the light of this judgment of the Hon ble Supreme Court, the reversal of Cenvat credit already made by the appellant is to be considered as not taken ab initio. The Government has introduced the facility of proportionate reversal w.e.f. 1.4.2008 to mitigate the difficulties faced by manufacturers to maintain separate accounts for inputs/input services as well as when the same are commonly used for dutiable as well as exempted products/services. Though detailed procedure starting with an option to be exercised by manufacturer has been prescribed, in the present case, the appel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s not been considered by the authorities below while deciding the matter, therefore without going any further in the merits of the matter and following the decision as aforesaid, I am inclined to remand the matter to the Adjudicating Authority. The matter is accordingly remanded to the Adjudicating Authority to decide the matter afresh after verifying whether the amount of Cenvat credit reversed by the Appellant satisfies the requirement of proportionate reversal. All the contentions raised by the Appellants are left open. It is needless to mention that the Adjudicating Authority must give a fair opportunity of hearing to the Appellant. 6. The Appeal is therefore allowed by way of remand. (Order pronounced on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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