9911796707
TMI Blog2022 (4) TMI 250X X X X Extracts X X X X X X X X Extracts X X X X ..... riff Act, 1985. The Appellant imported various inputs and capital goods for the manufacture of final goods. The Appellant was availing the benefit of Duty Entitlement Pass Book (DEPB) Scheme. Further, the Appellant was also making payments of CVD through debit entries under their DEPB. 3. During the course of audit of Appellant's records, Department objected that no credit can be availed on duty payment made through debit in their DEPB, stating that such debit does not constitute as payment of duty. Thus, Cenvat credit could not have been availed by the Appellant for CVD paid by debit entries in DEPB. 4. In light of above, the SCN dated 20.09.2007 was issued to the Appellant, proposing abovementioned demand of Cenvat credit, by invocation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arned Counsel points out that as per show cause notice - in the course of CERA audit by the AGMP, it was observed that appellant imported inputs and capital goods, and under DEPB scheme paid additional duty i.e. CVD through DEPB pass book and availed cenvat credit of the same amounting to Rs. 38,63,479/- during the period October, 2002 to March, 2005 and Rs. 3,46,873/- during the period March, 2005 to September, 2005. It is further alleged that the appellant did not divulge the fact of having availed cenvat credit of CVD, which was paid through DEPB, in the monthly return(s). Thus, it appears to Revenue that the appellant have intentionally suppressed the facts of the case. Thus, extended period is invocable. 10. Learned Counsel further re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l information. The show cause notice is based on information derived from the record of the appellant. Further, the stand of the appellant in taking credit of CVD, which have been paid through DEPB (Duty Entitlement Pass Book) Scheme is bonafide. I also take notice of such credit is held to be in order, as held by Delhi High Court and Punjab & Haryana High Court as noticed herein above.
14. In view of my observations and findings, I hold that the show cause notice is hit by limitation, there is no element of suppression or fraud etc. Accordingly, the appeal is allowed and the impugned order is set aside. The appellant is entitled to consequential relief, in accordance with law.
(Operative part of the order pronounced in open Court). X X X X Extracts X X X X X X X X Extracts X X X X
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