Jurisdiction to issue show cause notice (SCN), authority ...

Tax credit valid despite issuing authority change, invoices suffice for availing credit.

Case Laws     Central Excise

August 24, 2024

Jurisdiction to issue show cause notice (SCN), authority adjudicating the matter despite being different from the issuing authority, admissibility of CENVAT credit based on invoices, and the requirement of duty-paying documents. The Tribunal held that the allegation challenging jurisdiction is unsustainable as the adjudicating authority has competent jurisdiction despite being different from the SCN issuing authority. Regarding CENVAT credit, invoices issued by service providers are sufficient proof, and Rule 4A of Service Tax Rules mandates issuance of invoices within 30 days. Although invoices were in the name of other plants, the appellant accounted for them, and the revenue failed to prove otherwise. The invoices contained requisite details u/r 9(2) proviso of Credit Rules, and CENVAT credit cannot be denied. The CA certificate confirmed credit availed only by the appellant. As credit is a vested right once entitlement is undisputed, the impugned order was set aside, and the appeal was allowed.

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