Freight Charges not Included in Outward Transportation

[aneesh mittal]

CE Suptd has demanded excise duty , which was not included in outward transportation of final goods, however, Cenvat Credit on Service tax on outward transportation was availed by the Noticee/Manufacturer.

plz provide your valuable opinion on this issue. Thanks in advance.

AI Summary

Manufacturer Ordered to Reverse CENVAT Credit on Service Tax for Outward Transportation, Pay Excise Duty with Interest A manufacturer faced a demand from the excise department to pay excise duty not included in the outward transportation of final goods, despite having availed CENVAT Credit on service tax for that transportation. A respondent agreed with the department's demand, advising the reversal of the CENVAT Credit along with statutory interest. Another respondent reiterated that no CENVAT Credit is available on service tax paid for outward transportation, supporting the department's position.