TMI Blog2024 (4) TMI 901X X X X Extracts X X X X X X X X Extracts X X X X ..... efit was derived in any manner has not been contested by Revenue. Under the CENVAT credit scheme there was no co-relation of the raw material and the final product, and the manufacturer is entitled to use the credit at any time thereafter when making payment of excise duty on the excisable product. The government has not been deprived of duty on the date it became due as sufficient credit was available to take care of the debits made even without taking the disputed credit into account. The Hon ble High Court of Karnataka in COMMISSIONER OF CENTRAL EXCISE SERVICE TAX LARGE TAXPAYER UNIT, BANGALORE VERSUS M/S BILL FORGE PVT LTD, BANGALORE [ 2011 (4) TMI 969 - KARNATAKA HIGH COURT] has examined the judgment of the Hon ble Supreme Court in UOI ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ember 2007 to January 2011 and from November 2008 to December 2010 as required under erstwhile Rule 6(3)(a) and Rule 6(3)(ii) of CENVAT Credit Rules and on being pointed out by the officers of Central Excise, the appellant accepted the liability and reversed the ineligible CENVAT credit of Rs.58,965/- availed on inputs. However, the appellant did not pay the interest on the wrongly availed CENVAT credit. As per erstwhile Section 11AB of Central Excise Act, 1944, where any duty of excise has not been levied or paid or has been short-levied or short-paid or erroneously refunded, the person who is liable to pay the duty as determined under sub-section (2) or has paid the duty under sub-section (2B) of section 11A, shall in addition to the duty ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mes liable to pay interest along with duty where CENVAT credit has been taken or utilized wrongly. 5. I have carefully gone through the appeal and have heard the rival parties. I find that the appellant s claim that sufficient balance was available in CENVAT Credit account to reverse the credit and no pecuniary benefit was derived in any manner has not been contested by Revenue. Under the CENVAT credit scheme there was no co-relation of the raw material and the final product, and the manufacturer is entitled to use the credit at any time thereafter when making payment of excise duty on the excisable product. The government has not been deprived of duty on the date it became due as sufficient credit was available to take care of the debits m ..... X X X X Extracts X X X X X X X X Extracts X X X X
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