2017 (1) TMI 603

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....een written off, under the category of other income , in their books of accounts. A demand notice was issued alleging that since the value of the inputs has been written off, accordingly, in view of the Board s Circular dt.22.02.1995, the credit of Rs. 1,56,325/- on the said inputs was recoverable with proposal for penatly. On adjudication, the demand was confirmed with equal amount of penalty. Aggrieved by the said order, the Appellant filed the appeal before the learned Commissioner (Appeals), who in turn, rejected their appeal. Hence, the present appeal. 4. The learned Advocate Shri S.J. Vyas for the Appellants submits that the value of the inputs i.e. Rs. 9,57,873/- was written off in their books of accounts for the sole reason that ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ore, payment of the value including duty, to the input suppliers, is irrelevant, in availing the CENVAT Credit. I find that the learned Commissioner (Appeals), after analyzing the Appellant s ledger and respective invoices under which the inputs received, recorded his findings at Para 6 as follows:- "6. The Appellants have contended that they have not written off any quantity of inputs but on the contrary, they have written off the amount which they were liable to pay to the supplier of inputs, which the excise auditors considered as the value of inputs written off and asked them to reverse the CENVAT Credit on the said amount. I have gone through the copies of the creditors ledger submitted by the Appellants. One of the entries in....