TaxTMI 
TaxTMI 
2018 (5) TMI 1205
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....thout payment of duty to M/s NTPC Limited under an exemption notification. During audit by Central Excise authorities, it was found that the appellant had not reversed the CENVAT credit under Rule 6(3) on the exempted goods. It was pointed out and the appellant reversed an amount of Rs. 24,18,000/- which is 6% of the value of exempted goods and also paid interest applicable thereon. Thereafter, a show cause notice dated 29.09.2015 was issued to the appellants seeking to appropriate the aforesaid amount and also seeking to impose penalty under rule 15(2) of CCR, 2004 read with Section 11A (4) of Central Excise Act, 1944 and under Section 11 AC ibid. After following due process of law, the Ld. Lower authorities ordered recovery of CENVAT cred....
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.... Customs Tariff Act, 1975 (51 of 1975) and the additional duty leviable under sub-section (1) of Section 3 of the said Customs Tariff Act when imported into India and are supplied, - (a) Against International Competitive Bidding; or (b) To a power project from which power supply has been tied up through tariff based competitive bidding; or (c) To a power project awarded to a developer through tariff based competitive bidding, In terms of Notification No. 12/2012-Central Excise, dated the 17th March, 2012; (ix) .........................; (iii) The entire demand arose on the allegation that the exemption under rule 6(6)(vii) is not applicable to the instant case as the impugned clearances were s....
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....lant is not entitled to CENVAT credit since he was not covered by the exemption under rule 6(6)(vii) inasmuch as similar goods if imported to India are chargeable a duty of 2.5%, they were not exempted. He also argued that in the self declaration and self assessment, the entire responsibility of ensuring that the credit is properly taken shall rest on the assessee as laid down in Rule 9(5) of CENVAT credit Rules 2004. The appellant has not done so. The fact that they have taken inadmissible credit and have not reversed as per rule 6(3) would not have come to light but for the audit. They suppressed the fact and therefore reversal of credit, interest and penalty invoking the extended period of demand and therefore his appeal may be dismissed....
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....f interpretation of the statute is not a mechanical one. It is more than mere reading of mathematical formula. It is an attempt to discover the intention of legislature from the language used by them, keeping always in mind that the language used is at best and imperfect instrument for the expression of actual human thoughts. It is also idle to expect that the draftsman drafted it with divine prescience and perfect and unequivocal clarity. Therefore, Court would endeavour to eschew literal construction if it produces manifest absurdity or unjust result". I, therefore, find it is prudent to interpret the words "goods which are exempted" in the context of the scheme of CENVAT credit. The CENVAT Credit scheme has been designed to set off the d....
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.... was examining whether the goods which are partially exempted also can be covered under Section 111 of the Customs Act. This section provides for confiscation of improperly imported goods including the goods which are exempted subject to any condition from duty or permission which has been followed by the importer. The Hon'ble Supreme Court did not deal with the availability of CENVAT credit. 10. I, therefore, find that the appellant is not exempted from reversing the credit as per Rule 6(3) of CENVAT Credit Rules. The second question is whether the assessee has resorted to fraud, wilful misstatement, suppression of facts or violation of any condition of the Act or Rules, with an intent to avoid payment of duty. I find from the records p....