Appeal allowed due to time-barred notice; Cenvat credit granted for Cement & Asbestos.

The Tribunal allowed the appeal, setting aside the duty demands against the appellant as the show cause notice was deemed time-barred, citing the case of K.M. Sugar Mills Ltd. The denial of cenvat credit on Cement and Asbestos sheet was contested, with the Tribunal holding that the goods qualified as inputs or capital goods under the Cenvat Credit Rules, 2004. The impugned order disallowing the credit was overturned, and any consequential relief was granted to the appellant.

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Issues:
1. Denial of cenvat credit on Cement and Asbestos sheet
2. Applicability of Rule 2(k) and Rule 2(a) of the Cenvat Credit Rules, 2004
3. Invocation of extended period of limitation for issuing show cause notice

Analysis:

1. The appellant contested the denial of cenvat credit on Cement and Asbestos sheet, arguing that these goods qualify as inputs or capital goods under Rule 2(k) or Rule 2(a) of the Cenvat Credit Rules, 2004. The impugned order had disallowed the credit based on this premise, despite the appellant's contention.

2. The Tribunal considered the dispute regarding the availment of cenvat credit on the mentioned goods and referenced a prior ruling by the Larger Bench in the case of Vadana Global Ltd. The Tribunal held that the extended period of limitation could not be invoked in such circumstances, as established by the case of K.M. Sugar Mills Ltd. The show cause notice in this matter was issued using the extended period of limitation, leading to the conclusion that it was barred by limitation.

3. Consequently, the Tribunal found the duty demands against the appellant to be unsustainable due to the show cause notice being time-barred. As a result, the impugned order was set aside, and the appeal was allowed with any consequential relief deemed appropriate. The judgment was dictated and pronounced in open court by the Tribunal Member (Judicial), Mr. Ashok Jindal.

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