Appeal Granted for CENVAT Credit on Xerox Invoices for Forklifts

The Tribunal allowed the appeal, holding that the appellant was entitled to avail CENVAT credit on Xerox copies of invoices for Forklift trucks. The Tribunal emphasized that the appellant had received and utilized the capital goods in providing output services, and therefore, there was no basis to deny the credit. The impugned order was set aside, and the appeal was allowed with any consequential relief as per law.

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Issues:
- Admissibility of CENVAT credit on capital goods based on Xerox copies of invoices

Analysis:
The appeal was filed against an order-in-appeal passed by the Commissioner (Appeals) Vadodara-l, where the appellant, engaged in providing various output services, availed CENVAT credit on capital goods amounting to Rs. 7,54,917/- based on photo copies of the invoices. The issue revolved around the admissibility of this credit, as an SCN was issued alleging that credit on photocopies/Xerox copies of invoices was not permissible. The demand was confirmed with interest and penalty, leading to the appeal before the Tribunal.

The appellant argued that they availed credit on duty paid on capital goods, specifically Forklift trucks, from various manufacturers, all registered with the RTO and provided with a Chasis No. and Machine No. They highlighted that original/duplicate copies of invoices were lost in transit, and FIRs were filed with the Police along with newspaper advertisements. The appellant contended that each invoice/document bore unique identifiers, making it impossible to avail credit twice. They also mentioned availing depreciation on these capital goods, certified by a Chartered Accountant. The appellant cited judgments supporting admissibility of CENVAT credit on photocopies of invoices.

The Revenue, represented by the Ld. AR, reiterated the findings of the Ld. Commissioner (Appeals) in rejecting the appellant's appeal. However, the Tribunal, after considering the facts and circumstances of the case, along with legal precedents like the judgment of the Hon'ble High Court in Shivam Electrical Industries case, concluded that the appellant was entitled to avail CENVAT credit on the Xerox copies of the invoices for the Forklift trucks. The Tribunal emphasized that the appellant had received and utilized the capital goods in providing output services, and therefore, there was no reason to deny the credit. As a result, the impugned order was set aside, and the appeal was allowed with any consequential relief as per law.

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