2002 (4) TMI 179

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..... er (Appeals) has erred in allowing Modvat credit. According to the Department, as per Notification No. 14/95-C.E. (N.T.), dated 20-4-95 which amends Notification No. 32/94-C.E. (N.T.), dated 4-7-94 for taking Modvat credit on an invoice issued under Rule 57G, there should be a sale involved. Since in the present case there was no sale or stock transfer involved and only the goods were supplied fre .....

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..... I find that in the instant case, Modvat credit has been disallowed for the sole reason that the invoices on which credit is availed are received in stock transfer and not "sale" transaction, whereas as per Notification No. 14/95-C.E. (NT) dated 20-4-95, there should be sale of goods to the person availing Modvat credit under Rule 57G of the Central Excise Rules, 1944. The appellants have claimed t .....

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..... h), and Modvat credit of the duty paid on the goods so transferred is permissible. Commissioner (Appeals), Tiruchirapally in the case of Coimbatore Cots and Coating Ltd. - 1999 (106) E.L.T. 575 Commissioner (Appeals) has held that the stock transfer is covered within the meaning "sale" as defined in Section 2(h) of the Central Excise Act, 1944 and allowed the credit. On the similar grounds at the .....

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