Appellant wins refund claim despite time limit rejection, cenvat credit upheld.

The tribunal ruled in favor of the appellant, allowing the refund claim of Rs. 81,533 to be re-processed despite initial rejection due to time limitations. Additionally, the tribunal deemed the cenvat credit of Rs. 1,85,149 valid and accrued to the appellant, setting aside the demand. The appeal was partially allowed, with the judgment delivered on 13.03.2019 by Shri Ramesh Nair, Member (Judicial) at the Appellate Tribunal CESTAT Ahmedabad.

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Issues:
1. Entitlement for refund of Rs. 81,533
2. Entitlement for adjustment of cenvat credit of Rs. 1,85,149

Analysis:
1. The appellant's refund claim of Rs. 81,533 was rejected on the grounds of time bar. The appellant argued that a letter requesting adjustment of the amount against service tax should be considered a refund claim. The tribunal agreed, considering the letter as the refund claim and not subject to time limitations. The tribunal set aside the rejection and allowed the refund claim to be re-processed.

2. Regarding the adjustment of cenvat credit of Rs. 1,85,149, the appellant claimed that there was no time limit for availing cenvat credit before 01.09.2014. As all invoices were issued prior to this date, the tribunal found the cenvat credit to be valid and accrued to the appellant. Consequently, the demand for Rs. 1,85,149 was deemed unsustainable and set aside by the tribunal.

In conclusion, the tribunal partially allowed the appeal, ruling in favor of the appellant on both issues. The judgment was pronounced on 13.03.2019 by Shri Ramesh Nair, Member (Judicial) at the Appellate Tribunal CESTAT Ahmedabad.

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