2017 (3) TMI 164

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....dent ORDER The appellants are engaged in manufacture of 'PET Preforms' and 'Woven Sacks' and are registered with the central  excise department. In respect of purchases from EOUs who are charging duties after availing exemption in terms of Sl. No.2 of Notification No. 23/2003-CE dated 31.03.2003 the credit has to be availed as per the formulae prescribed under Rule 3(7)(....

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....before issuance of the show cause notice. That the appellants have not suppressed any facts as it was only mistake in interpreting the formulae and appellant was under bonafide belief that the formulae has to applied in such manner. That therefore the show cause notice issued invoking the extended period is not sustainable. It is also pointed out by the Ld. Consultant that due to the error in appl....

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....f records it is clearly understood that the excess credit happened to be availed by the credit only because of the wrong application of formulae. Rule 3(7)(a) of CENVAT Credit Rules, 2004 prescribes a formulae in case the EOU avails the benefit of Notification No. 23/2003. For the period up to 28.02.2006 and thereafter these formulae had undergone frequent amendments as shown below: a. For the ....