2017 (2) TMI 102

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....ty is required to be paid in cash and on consignment basis and not from Cenvat Credit. Complying the department's direction the appellants have paid entire duty in cash which was earlier paid from cenvat account on 5.10.2009. Thereafter appellants have informed the department regarding the payment of duty in cash along with interest vide letter dt. 20.11.2009. In the said letter the appellant also requested to allow them to take re-credit of the payment earlier made in cenvat account as the said amount was paid again in PLA. Thereafter the appellant vide letter dt. 19.3.2010, again requested to allow the re-credit of duty paid from cenvat account on 13.4.2010. The Superintendent vide letter dt. 13.4.2010 advised the appellants to file refun....

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....hat the appellant should have filed refund claim. She submits that there is no need of filing refund claim for the reason that the amount re-credited was the amount of cenvat credit only and for cenvat credit no prior approval is required. In spite of this position the appellants have been requesting to allow re-credit. Instead of deciding the issue of re-credit. The department issued show cause notice and ordered for recovery of the cenvat credit which is legitimate right of the appellant. She submits that regarding suo moto re-credit of cenvat this Tribunal and High Court have passed various judgments and as of now is settled that re-credit is permissible. In this support she placed reliance on the following judgments: (i) Shree Rubber....

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....paid twice from cenvat credit and second time from PLA on insistance of the department. Under any circumstances, the double payment of excise duty is not required. Both the lower authorities by denying the re-credit otherwise held that both the amount is recoverable for which no authority is provided in the law to charge the duty twice on the same clearance. Since there is no dispute about the payment made twice on the same clearance, I do not find any reason why the appellant is not entitled for the re-credit of duty paid from cenvat account when they have paid in cash that to complying the instruction of the department. It is also to be noted that the appellant have not taken suo moto credit on their own but they made number of request by....