9911796707
TMI Blog2008 (7) TMI 351X X X X Extracts X X X X X X X X Extracts X X X X ..... financial hardship – stay granted partly - E/752, 760 & 759/2007 - 703-705/2008 - Dated:- 25-7-2008 - Dr. S.L. Peeran, Member (J) and Shri T.K. Jayaraman, Member (T) Shri M.S. Nagaraja, Advocate, for the Appellant. Mrs. Sudha Koka, SDR, for the Respondent. [Order per : S.L. Peeran, Member (J) (Oral)].- All these three stay applications deal with common question of law and facts, hence, they are taken up together for disposal as per law. The appellants are required to pre-deposit the following amounts. Stay/Appeal No. Disallowance of Cenvat Credit Demand of Service Tax Education Cess Penalty under Rule 15 (3) of CCR, 2004 Penalty under Section 76 of the Finance Act, 1994 E/st/487/200 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d towards payment of Service tax and Educational Cess payable on the freight for transportation of their goods for the subsequent period that is from 4/2005 to 9/2005. It was found by the department that they were neither service providers nor the manufacturer of final products and as such they were not eligible for taking Cenvat credit in terms of Rule 3 of Cenvat Credit Rules, 2004 and therefore, the credit taken and utilized was found to be wrong and irregular. Therefore, proceedings were initiated for recovery of the same and the amounts have been confirmed. 3. The appellants' submission before the authorities was that they were engaged in the mining/processes and production of iron ore of various graces and concentrates and they ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that outward transportation is not an input service as per the definition under Clause (ii) of Rule 2(1) of the Cenvat Credit Rules, 2004 as such the question of treating their end products or as "final product" does not arise. Hence, they are not eligible for taking Cenvat Credit Rule 3(1) of the said Rules. 4. Shri M. S. Nagaraja, learned Advocate, at the out the set pointed out that the important question of law arises in this matter and as the activity of escalating minerals from the mines is an activity of manufacture and has been so held by the Supreme Court in the case of Commissioner of Income Tax, Goa v. M/s. Sesa Goa Limited in Civil Appeal No. 7456/2004 that the input credit can be utilized for the subsequent payment. He ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
