TaxTMI 
TaxTMI 
TaxTMI 
2019 (1) TMI 968
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.... of the case are that the appellant is engaged in the manufacture of chewing tobacco and were duly registered with the Central Excise Department. The appellant surrendered their Registration Certificate on 9.9.2015. Consequently, they filed two refund claims on 22.2.2016 and 30.3.2016 on the ground that they had operated FFS Pouch Packing Machines and the production from the said machine was stopped and the Cenvat credit remained unutilised in their books of account. The above refund claims were returned on 13.5.2016 on the ground that the unit has closed and had surrendered the Central Excise registration and the balance of Cenvat credit lying unutilised stood lapsed. However, opportunities for personal hearing was granted to the appellant. After hearing the appellant, the ld. Adjudicating authority has rejected the refund claim on the ground that such refund claim is not admissible under the provisions and Act. The appellant unsuccessfully contested the subject order passed by the lower adjudicating authority and hence the present appeal before this Tribunal. 3. The ld. Advocate on behalf of the appellant submits that both the adjudicating authority and ld. Commissioner (Appeals....
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....e is to ascertain the intention of the legislature enacting it. The intention of the legislature is primarily to be gathered from the language used, which means that attention should be paid to what has been language used, which means that attention should be paid to what has been said as also to what has not been said. As a consequence, a construction which requires for its support, addition or substitution of words or which results in rejection of words as meaningless has to be avoided." 3.4 It is also submitted that the case law and the judgements on the subject, cited by the appellant pertaining to interpretation of provisions of CCR, 2004 and refund of unutilised credit was wrongly rejected. He relied on the decisions of judgement of CCE, Chennai-I Vs. Spic Ltd. - 2014 (305) ELT 484 (Mad.), wherein the High Court of Madras has held as under: : "18. It was pointed out by the Revenue therein that in the original Scheme introduced, the application of the Scheme gave rise to a situation where the nexus between input and output was lost, leading to an anamolous situation that though on the original item manufactured, a duty was liable to be paid, the ultimate product remained a d....
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.... accumulated Cenvat credit, although the same was used in the manufacture of excisable product, for discharging the duty for the same month in spite of being available in the books of the appellant. In the impugned order, the Commissioner (Appeals) has stated that while interpreting the statute the legislative intend has to be considered from the language used and on could not pay attention to what has not been said. As a consequence, a construction is required for its support, addition or substantive of words or which results in rejection of the words as meaningless has to be avoided. 4. The ld. AR on behalf of the Revenue supports the impugned order and states that the appellant operating under the rules where there is no provisions for refund of accumulated Cenvat credit at the time of closure of the factory place reliance on the Rule 17 of the Rule. 5 We have heard the matter and considered the facts on record. 6. The issue involved in this case lies on a narrow compass as to whether the appellant is entitled to claim the refund of unutilised Cenvat credit lying in the balance at the time of closure of the factory for which due procedure has been followed by the appellant b....
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....Calamity Contingent duty leviable under section 136 of the Finance Act, 2001 (14 of 2001); (iii) the education cess on excisable goods leviable under section 91 read with section 93 of the Finance (No.2) Act, 2004 (23 of 2004); (iv) the Secondary and Higher Education Cess on excisable goods leviable under Section 136 read with section 138 of the Finance Act, 2007 (22 of 2007); (v) the additional duty of excise leviable under section 85 of Finance Act, 2005 (18 of 2005)], paid on chewing tobacco in bulk packs received in his factory on or after the 8th day of March, 2010 for use in manufacture of chewing tobacco notified under Section 3A of the Act (2) Except as provided under sub-rule (1), no CENVAT credit of duty paid on any input, capital goods or input services used in or in relation to manufacture of the notified goods shall be taken under the provisions of the CENVAT Credit Rules, 2004. (3) The CENVAT credit under sub-rule(1) may be taken immediately on receipt of bulk packs of chewing tobacco and may be utilized for payment of duty leviable under section 3A of the Act on chewing tobacco: Provided that while paying duty, the CENVET credit shall be utilized only to the ....
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....tobacco: Provided also that in a case, where the CENVAT credit has been taken or utilised wrongly on account of fraud, wilful mis-statement, collusion or suppression of facts, or contravention of any of the provisions of the Act or the rules made thereunder with intention to evade payment of duty, then, the manufacturer shall also be liable to pay penalty in terms of the provisions of section 11AC of the Act. (7) Except as provided in this rule, no other provisions of CENVAT Credit Rules, 2004 shall apply in relation to the notified goods." So, the provisions of Cenvat Credit Rules are applicable in the case of this Rule also. 9. We have seen the decision in the case of Delphi-TVS Diesel Systems Ltd. Vs. CESTAT, Chennai - 2015 (324) ELT 270 (Mad.), wherein it is held that rules being subordinate legislation, cannot prescribe anything different than prescribed in the Act, rules can occupy a field that is not occupied by Statute. The rule cannot occupy a field i.e. already occupied of the statute. In view of the above judgement, the Hon'ble High Court its very much intention that the ground taken by the first appellate authority to reject the refund scheme is not sustainable in th....