2018 (1) TMI 869

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....ondent is engaged in the manufacture of iron and steel products classifiable under Chapter 72 of the First Schedule to the Central Excise Tariff Act, 1985. 3. A Show Cause Notice was issued proposing to deny the Cenvat Credit on Welding Electrodes, Welding Machine, Concrete Sleeper and Safety Helmet as the same items are not capital goods. The Adjudicating authority disallowed the Cenvat Credit of Rs. 75,702/- along with interest and imposed penalty. 4. By the impugned Order the Commissioner (Appeals) set aside the Adjudications Orders and allowed the appeals filed by the Assessee/Respondent. The Revenue filed the appeal against the Appellate Order. 5. Heard both the sides and perused the appeal records. 6. On perusal of the app....

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....j.) (ii) Ambuja Cements Eastern Ltd. Vs. CCEx, Raipur reported in 2010 (256) ELT 690 (Chhattisgarh) (iii) CCE, Kolkata Vs. Hindustan Engineering & Industries Ltd. reported in 2011 (264) ELT 161 (Kolkata) (iv) Gobind Sugars Mills Ltd. Vs. CCE Lucknow vide Final Order No.467-470/2011 SM (BR) dated 03.08.2011, (v) M/s Jayaswal NECO Ltd. Vs. Commr. of Central Excise, Raipur reported in 2015-TIOL-70-SC-CX and (vi) Ramala Sahkari Chini Mills Ltd. Vs. CCEx., Meerut I reported in 2016-TIOL-20-SC-CX-LB in support of his contentions. 5.4 From perusal of the above, I observe that primarily, the Adjudicator has rejected the subject claim of the appellant on the grounds that, the impugned goods are not eligible input or do not have a nexus in t....

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....ssential and integrally connected to the process of manufacture. In addition, the judgments relied by the appellant and stated supra have held that credit is admissible on Railway tracks/sleepers used within the factory for transportation of raw materials and finished goods. Following the ratio laid in these judgments, I hold that the appellant has established a case on merits and that credit is admissible on MBC sleepers. 7. The appellant has also argued on the issue of limitation. They had disclosed the availment of credit in the ER-1 returns. The show cause notice is issued basing on the judgment laid in Vandana Global Ltd. (supra). There is no case for revenue that the appellant has not disclosed the credit details in their acc....