9911796707
TMI Blog2000 (10) TMI 100X X X X Extracts X X X X X X X X Extracts X X X X ..... im for refund of Modvat credit of duty paid on tin plate used for manufacture (by its job worker) of tin containers in which the vegetable product was to be packed was disallowed by the department. At a subsequent stage in the proceedings the Tribunal by order dated 4-2-1997 held that tin plate was an input and the duty paid on it was available as Modvat credit to be utilized as input in the manuf ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ce. The Commissioner (Appeals) has found at page 6 of his order that the respondent did not manufacture any other final product than vegetable product. A bare statement that this is wrong cannot be accepted. The second ground that the provisions of Section 11B of the Act are meant for claiming duty and not Modvat credit, is itself contradictory to the rules. Rule 57A itself indicates that Modvat c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... yment of refund in cash or by cheque. Following that decision it had ordered payment of that amount by cheque to the assessee. In CCE v. Orient Paper Mills - 1994 (73) E.L.T. 648 the Tribunal it was held that "The provisions regarding non-payment of refund of Credit has to be read down and confined to normal cases where availment of Credit for utilisation for the payment of duty is possible not in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee would not have been required to pay the cash and would have saved the amount in cash. It is therefore appropriate in a situation where credit cannot be utilised in the payment of duty that the relief to the assessee is paid by cash. This is what the Commissioner (Appeals) has done. 6. We therefore see no reason to interfere. Appeal dismissed. - - TaxTMI - TMITax - Central E ..... X X X X Extracts X X X X X X X X Extracts X X X X
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