9911796707
TMI Blog2008 (9) TMI 281X X X X Extracts X X X X X X X X Extracts X X X X ..... lowed - E/316/2006 - 1000/2008 - Dated:- 16-9-2008 - Shri P. Karthikeyan, Member (T) Shri P.R. Venkataraman, Advocate, for the Appellant. Shri M.K.A.K. Mohiddin, JDR, for the Respondent. [Order].- In this appeal filed by M/s. D.R.G. Leather Cloth Pvt. Ltd. (DRGL), the appellant seeks to vacate the impugned order which had sustained rejection of its rebate claim (as indicated in the impugned order) for an amount of Rs. 1,04,076/-. DRGL had received polyester yarn and used the same as input in the manufacture of its final product PVC leather cloth. During the period 9/2003 to 11/2004, the appellants had manufactured and exported PVC leather cloth under claim for rebate. As PVC yarn suffers Additional Duly of Excise (T TA) and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llant is able to obtain rebate of the basic excise duty applicable to the final products, the element of AED (T TA) suffered by one of the inputs i.e., polyester yarn, accumulates in the accounts of DRGL. The appellant is not able to utilise the same for payment of duty on any final product or claim it as rebate. The only option available to it is to claim refund of the accumulated AED (T TA) in terms of Rule 5 of CENVAT Credit Rules, 2002 (CCR). Rule 5 of CCR reads as follows:- RULE 5. Refund of CENVAT credit. - Where any inputs are used in the final products which are cleared for export under bond or letter of undertaking, as the case may be, or used in the intermediate products cleared for export, the Cenvat credit in respect of the i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3 of the Central Excise Act, 1944. No application for rebate of additional excise duty which was paid on the inputs, was made under Rule 18 read with Section 3 of Additional Duties of Excise (Textiles and Textile Articles) Act. Therefore, an application for refund of such additional excise duty by way of Cenvat credit in the account of the respondents could be made under Rule 5 of Cenvat Credit Rules by these respondents. They were not debarred under the proviso to Rule 5 because they had not claimed rebate of additional excise duty under Rule 18. The facts clearly disclose that there was ample evidence to show that the inputs were used in the final product which was exported on payment of duty. Thus, refund is admissible." In the MRF Lt ..... X X X X Extracts X X X X X X X X Extracts X X X X
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