TaxTMI 
TaxTMI 
2018 (11) TMI 841
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....ring and trading of "Phthalic Anhydride" was found to have engaged in sale of "Phthalic Anhydride" on high sea and without maintaining separate accounts for common input services, it had availed the credit on such trading which is covered under exempted service, as per definition contained in Rule 2(e) of Cenvat Credit Rules effective from 01.07.2002. The appellant was put to notice to pay 6% of duty on the total turnover as per Rule 6(3)(i). 3. Appellant replied to the show-cause notice denying the allegation and challenged the wrong application of rule to its case as well as errorness computation of amount inclusive of the month of March 2011, which was prior to the period when the trading was put under exempted service. Referring to t....
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....n be brought into the definition of exempted service as found in Board circular no. 943/04/2011-CX dated 29.04.2011 under Sr. No. 7 its meaning is required to be ascertained. "Trade" is a transfer of ownership of goods and services from one person or entity to another by getting something in exchange from the buyer which is known as consideration amount and it is pure sale when the same relates to transfer of ownership of goods. "Goods" is defined under clause (25) of Section 65B of the Act means every kind of movable property other than actionable claim and money; and includes securities, growing crops grass and things attached to or forming part of the land which are agreed to be severed before sale or under the contract of sale. In the c....
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....ment of Object and Reason, it can be ascertained that in conformity to the judgment of Hon'ble Supreme Court passed in Ganon Dunkerley's case (AIR) 1958 SC 560 whereby the sale of goods as used in entry of the 7^th schedule to the constitution was treated to have carried the same meaning as in the Sale of Goods Act, 1930, coupled with subsequent decisions of the Hon'ble Supreme Court were the preludes to passage of such an amendment act that suitably amended tax on the sale or purchase of goods and included the same in Article 366 of the Constitution of India under a new Article (29A). "Service" as defined under 65B (44) of the Finance Act, 1994 excludes (ii) such transfer, delivery or supply of any goods which is deemed to be a ....
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....he Central Excise Officer competent to adjudicate a case based on amount of CENVAT credit involved, may allow such manufacturer or provider of output service to follow the procedure and pay the amount referred to in clause (ii) of sub-rule (3), calculated for each of the months, mutatis-mutandis in terms of clause (c) of sub-rule (3A), with interest calculated at the rate of fifteen per cent. per annum from the due date for payment of amount for each of the month, till the date of payment thereof. (3AB) Assessee who has opted to pay an amount under clause (ii) or clause (iii) of sub-rule (3) in the financial year 2015-16, shall pay the amount along with interest or take credit for the said financial year in terms of clauses (c), (d), (e)....