2015 (5) TMI 132

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....llant is in appeal against the impugned order. 2. The facts of the case are that appellant is manufacturer of IC engine Petrol, IC Engine Diesel, Transmissions and their parts. During the course of manufacture of final product they sent certain processed goods to the job workers for further processing. During the course of processing of job workers certain scrap was generated. The Appellant is re....

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.... But in this case department has not asked the appellant to reverse the Cenvat Credit on inputs used in generation of waste and scrap. Therefore, impugned order is to be set aside. 4. On the other hand Ld. AR submits that as per the agreements between the parties the value of waste and scrap forms the part of the job charges. Therefore, appellant is required to pay duty on waste and scrap. 5. He....

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....ara 7 as under: 7. A reading of the rule clearly indicates that the Asst. Commissioner can impose conditions in the interest of revenue including the manner in which duty, if leviable, is to be paid. The Commissioner has prescribed the manner in which the duty liability has to be discharged vide Trade Notice 38/2002 wherein he has fastened the duty liability on the principal manufacturer rather t....

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....rsal of credit in case the credit has been taken wrongly. Therefore, under Rule 4(6) Cenvat Credit Rules, 2004 only such conditions can be prescribed which are in conformity with Rules 4 and 8 of the Central Excise Rules, 2002 and not conditions which are repugnant or contrary to the-provisions of these rules. In Fag Engineering case (supra), it was held that no duty liability can be fastened upon....