https://www.taxtmi.com/caselaws?id=782076 CESTAT Hyderabad-AT held that peanut butter is a "similar edible preparation" to margarine and therefore excluded from exemption under Notification No. 03/2006-CE. Relying on an earlier unchallenged Commissioner (Appeals) order in the appellant's own case, the Tribunal treated that view as binding on the Department, and found the demand for recovery of CENVAT credit on CVD used to pay duty on relabelled peanut butter as unsustainable due to revenue neutrality and the accepted classification. Consequently, the demand of Rs. 1,35,98,208/- and equal penalty was set aside. However, the demand of Rs. 4,51,157/- and penalty for irregular CENVAT credit on written-off or rejected inputs under Rule 3(5B) of CCR was upheld, resulting in partial allowance of the appeal. en-us Fri, 21 Nov 2025 00:00:00 +0530 Tue, 25 Nov 2025 08:55:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=782076 CESTAT Hyderabad-AT held that peanut butter is a "similar edible preparation" to margarine and therefore excluded from exemption under Notification No. 03/2006-CE. Relying on an earlier unchallenged Commissioner (Appeals) order in the appellant's own case, the Tribunal treated that view as binding on the Department, and found the demand for recovery of CENVAT credit on CVD used to pay duty on relabelled peanut butter as unsustainable due to revenue neutrality and the accepted classification. Consequently, the demand of Rs. 1,35,98,208/- and equal penalty was set aside. However, the demand of Rs. 4,51,157/- and penalty for irregular CENVAT credit on written-off or rejected inputs under Rule 3(5B) of CCR was upheld, resulting in partial allowance of the appeal. Case-Laws Central Excise Fri, 21 Nov 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=782076