TaxTMI 
TaxTMI 
2015 (8) TMI 249
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....ial question of law for consideration : - "Whether the Tribunal is justified in allowing the appeal when Rule 57CC (1) of Central Excise Rules, 1944 is straight away attracted and when sub-rule (9) is not complied with?" 2. The facts, in a nutshell, are as hereunder : - The respondent is a manufacturer of aerated water drinks and fruit juice based drinks and is subjected to 'Nil' rate of duty under Chapter 22 of the Central Excise Tariff. The respondent took Cenvat credit on various inputs used in the manufacture of aerated water and Lehar Slice, viz., ( i ) Sugar (to prepare sugar syrup), (ii) activated carbon (for water purification), (iii) caustic soda (for water purification), (iv) filter paper (for filtration), (v) furnace o....
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....ing separate inventory and accounts in the receipt and use of inputs, viz., filter paper, activated carbon, caustic soda, industrial washing products and sugar. Further, in respect of furnace oil used as fuel, the respondent did not reverse the credit equal to the furnace oil said to have been used in the manufacture of exempted Slice. Therefore, the assessee/respondent is liable to pay an amount equal to 8% of the value of exempted produce under Rule 57CC. Therefore, a show cause notice was issued on the assessee/respondent demanding payment of duty. 7. A reply was issued by the assessee/respondent to the show cause notice stating that they had reversed the entire credit on the common inputs used in the manufacture of dutiable as well as ....
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....e amended Amendment Period of effect of amendment 1 2 3 4 Rule 6 of the Cenvat Credit Rules, 2004 as published vide Notification Number G.S.R. 600 (E), dated the 10th September, 2004 [23/2004- CENTRAL EXCISE (N.T.), dated the 10th September, 2004]. In the Cenvat Credit Rules, 2004, in Rule 6, after subrule (6), the following subrule shall be inserted, namely : "(7) Where a dispute relating to adjustment of credit on inputs or input services used in or in relation to exempted final products relating to the period beginning on the 10th day of September, 2004 and ending with the 31st day of March, 2008 (both days inclusive) is pending on the date on which the Finance Bill, 2010 receives the assent of the President, then, notwi....
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....ate books of accounts are maintained as per sub-rule (9) of Rule 57CC. 12. It is clear from a plain reading of Rule 57CC that where a manufacturer is engaged in the manufacture of any final product, which is chargeable to duty as well as in any other final product, which is exempt from the whole of the duty of excise leviable thereon, or is chargeable to nil rate of duty, if the manufacturer takes credit of the inputs used in manufacture of both exempted and dutiable final products, in the absence of the manufacturer maintaining separate books of accounts as required under sub-rule (9) of Rule 57CC, the manufacturer is liable to pay 8% of the price of exempted products. 13. For claiming the benefit under Section 57CC (9) of the Act, the m....
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.... Amendment Period of effect of amendment 1 2 3 4 Rule 6 of the Cenvat Credit Rules, 2004 as published vide Notification Number G.S.R. 600 (E), dated the 10th September, 2004 [23/2004- CENTRAL EXCISE (N.T.), dated the 10th September, 2004]. In the Cenvat Credit Rules, 2004, in Rule 6, after subrule (6), the following subrule shall be inserted, namely : "(7) Where a dispute relating to adjustment of credit on inputs or input services used in or in relation to exempted final products relating to the period beginning on the 10th day of September, 2004 and ending with the 31st day of March, 2008 (both days inclusive) is pending on the date on which the Finance Bill, 2010 receives the assent of the President, then, notwithstanding....