Appeal Success: CESTAT allows credit on metal containers for packing paints

The Appellate Tribunal CESTAT, Mumbai allowed the appeal, overturning the denial of Cenvat credit on metal containers used for packing paints. The Tribunal held that the containers qualified as inputs for packing paints as there was no proof of them being damaged/rejected before use. Consequently, the duty demand and penalty were dismissed.

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The Appellate Tribunal CESTAT, Mumbai allowed the appeal against the denial of Cenvat credit on metal containers cleared as scrap for packing paints. The Tribunal found that there was no evidence to support the claim that the containers were damaged/rejected before use, and hence, they could be considered as inputs for packing paints. The duty demand and penalty were set aside.

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