2011 (8) TMI 821

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....rma, Standing Counsel for the appellant.   ADARSH KUMAR GOEL, ACJ   1. This appeal has been preferred by the revenue under Section 35-G of the Central Excise Act, 1944 (for short, "the Act") against order dated 5.1.2007 passed by the Custom, Excise and Service Tax Appellate Tribunal, New Delhi, claiming following substantial question of law:-   "Whether the manufacturer of ....

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....04 disallowing the Modvat Credit of Rs. 27,078/- and also created demand of interest and penalty. On appeal, the appellate authority held that deemed Modvat Credit could not be denied on the ground that the manufacturer failed to discharge its duty liability in view of notification No.58/97-CE dated 30.8.1997. The Tribunal dismissed the appeal by the revenue.   3. This appeal was admitted ....

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.... inputs had not discharged the full duty liability. I observe that in terms of provisions of notification no.58/97-CE dated 30.8.97 credit of deemed duty paid by manufacturer under Section 3A of the Central Excise Act, 1944 is available subject to the condition that the input are received directly from the factory of manufacturer under cover of an invoice declaring therein that the appropriate dut....

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....similarly worded declarations as in above invoices, Hon'ble CEGAT is the case of M/s Kapoor Steel Industries Vs CCE, Chandigarh- 2003(55)RLT 48(CEGAT-Del) has held deemed credit admissible as there is compliance of substantive requirement of the notification no.58/97 dated 30-08- 97.   With regard to discharge of duty liability by the manufacturer, it has been contended by the appellants t....