2017 (1) TMI 232

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.... HR coils, HR plates, and also welding electrodes under the category of capital goods. A Show Cause Notice dated 26.08.2010 was issued alleging irregular availment of credit and proposing to recover the credit availed along with interest and also to impose penalty. After due process of law, the original authority confirmed the demand, interest and also imposed equal amount penalty. The appellants filed appeal and vide the order impugned herein, the Commissioner (Appeals) upheld the same. Hence this appeal. 2. On behalf of the appellant, the Ld. Counsel Shri. B. Venugopal, argued the case both on merits as well as on the ground of limitation. On merits the Ld. Counsel submitted that though in the Show Cause Notice the period involved is s....

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....e Show Cause Notice has been issued merely relying upon the judgment rendered in the case of Vandana Global Ltd., [2010 (253) ELT 440 (Tri.-LB)] and argued that the credit ought not have been denied merely on change of opinion/view on the said issue. He submitted that the entire demand is therefore time barred. The Ld. Counsel drew support from the judgments laid in the case of India Cements Ltd., Vs. CESTAT, Chennai [2015 (321) ELT 209 (Mad.)], Mundra Ports & Special Economic Zone Ltd., Vs. CCE & CUS [2015 (39) STR 726 (Guj.)], Ultra Tech Cement Ltd., Vs. CCE, Raipur [2016 (332) ELT 356 (Tri. Del.)]. 3. On behalf of the Department, the Ld. AR, Shri. P.S. Reddy reiterated the findings in the impugned order. He relied upon the judgment la....

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....ana Global Ltd., was discussed by the Larger Bench of the Tribunal in the case of Ultratech Cement Ltd., [2016 (332) ELT 356 (Tri. Del.)]. The Tribunal in the said case has analysed that the issue whether MS items used for manufacture/fabrication of capital goods etc., was contentious during the relevant period and therefore extended period is not invokable. In view thereof, I hold that the demand is barred by limitation. 5. Now coming to the merits of the case, the issue whether MS angles, channels, HR plates, etc., used for fabrication of capital goods is eligible for credit has been I held in favor of the assessee in the case of India Cements Ltd., [2015 (321) ELT 209 (Mad.)]. The period involved as evidenced by the invoices is prior ....