TaxTMI 
TaxTMI 
Dear All,
Please let me know Under which notification we use Credit balance of Basic Excise Duty to make payment of Edu.Cess & SHE Cess....???
Under which notification we use Basic Excise Duty to make payment of Edu.Cess & SHE Cess
23 Apr 2013 
2 Replies 
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Cenvat credit use for education and SHE cess remains disputed, with divergent tribunal rulings and cited authorities.
Whether a credit balance of Basic Excise Duty may be used to discharge liabilities for Education Cess and SHE Cess is contested, hinging on the interpretation of the Cenvat Credit Rule concerning allowable utilisations and whether basic duty credits can be applied to separately charged cesses. Tribunal decisions and practitioner commentary are split, with some orders permitting such use and others denying it; a favourable tribunal decision (Savita Oil Technologies Ltd. v. CCE Vapi) is cited in support of the permissive approach. (AI Summary)
Whether a credit balance of Basic Excise Duty may be used to discharge liabilities for Education Cess and SHE Cess is contested, hinging on the interpretation of the Cenvat Credit Rule concerning allowable utilisations and whether basic duty credits can be applied to separately charged cesses. Tribunal decisions and practitioner commentary are split, with some orders permitting such use and others denying it; a favourable tribunal decision (Savita Oil Technologies Ltd. v. CCE Vapi) is cited in support of the permissive approach. (AI Summary)