TaxTMI 
TaxTMI 
Dear Experts
Please Give your Expert advice Whether we can pay mandatory Pre-deposit from our Cenvat credit account while filling the Appeal to the Appealate authority.
SHIVKUMAR SHARMA
Mandatory Pre-Deposit
05 Oct 2015 
6 Replies 
8612 Views Asked by
Pre-deposit through CENVAT credit permitted for duty portion; penalty pre-deposit must be paid in cash.
Pre-deposit through CENVAT credit may be applied to the duty component where CENVAT is used to discharge duties, supported by a view invoking Rule 3(4)(a) of the Cenvat Credit Rules and by a CESTAT circular permitting reversal or adjustment of credit for duty pre-deposit; however, pre-deposit of penalty amounts must be made in cash and cannot be discharged from CENVAT credit. (AI Summary)
Pre-deposit through CENVAT credit may be applied to the duty component where CENVAT is used to discharge duties, supported by a view invoking Rule 3(4)(a) of the Cenvat Credit Rules and by a CESTAT circular permitting reversal or adjustment of credit for duty pre-deposit; however, pre-deposit of penalty amounts must be made in cash and cannot be discharged from CENVAT credit. (AI Summary)