2013 (7) TMI 640

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.... Advocate for the assessee, I find that as the appellant claimed area based exemption under Notification No. 50/2003-CE dated 10.06.2003, they were directed to reverse the cenvat credit in respect of stock of inputs, the inputs in process and inputs contained in the final product on the date of availment of the notification on 29.11.2003. As the assessee was not having any credit balance in their RG-23A Part-II register, the total credit of Rs. 8,88,213/was deposited by them in cash on 29.11.2003. However, subsequently the appellant claimed the refund of the said cash deposited, which was rejected by the original adjudicating authority vide his order-in-original dated 30.12.2008. 3. The said order-in-original was appealed against by the ....

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....by cash and subsequent to the clearance of their final product. He also referred to the ledger account and a copy of the general voucher supplied by the assessee and observed that this expenditure has not been allowed in the sale value of the goods cleared subsequently and the same has not been carried forward in the next financial year and not used for further clearance of excisable goods, as the assessee was availing the area based exemption in terms of Notification No. 50/2003 dated 10.06.2009. The Assistant Commissioner did not accept the above stand of the assessee as regards unjust enrichment and observed that as they have shown the said amount as expenditure, this amount might have been shown as expenditure in their profit and loss a....

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.... (Appeals) and filed appeal No. 2932/11 before the Tribunal. It is further seen that though Commissioner (Appeals) disposed of the Revenue appeal by directing refund amount to be credited in cenvat credit amount, revenue was of the view that such refund is not to be allowed, also challenged the Commissioner (Appeals) order in appeal No. 366/2011 and Revenues said appeal is registered before the Tribunal as Appeal No. E/2986/2011-SM. 6. The situation emerges from the above factual position is as under:- i) Revenue appeal No. E/4049/2010-SM is against order-in-appeal No. 129/10 dated 16.09.2010 vide Commissioner (Appeals) has allowed the assessee's appeal. ii) Revenue appeal No. E/2986/2011-SM is against order-in-appeal No. 366/2011....

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....ion notification, there was no requirement for reversing the credit amount availed in respect of inputs lying in stock either as such, or as contained in the final product. As such, the Revenue's appeal No. E/2986/2011-SM is also required to be rejected. 10. As regards the assessee's appeal, the only issue required to be decided is as to whether the refund has to be given in cash or the same has to be credited in cenvat credit accounts. There is no dispute about the fact that the amount in question was paid back by the appellant in cash, as there was no credit available with them in RG-23A Part-II records. There is also no dispute about the fact that the appellant is availing benefit of area based exemption notification and as such is no....