2019 (6) TMI 320

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....i Pradeep Kumar Dubey, Authorized Representative for Respondent ORDER ARCHANA WADHWA The appellants were engaged in the manufacture of Toilet Soaps and were availing the benefit of Cenvat Credit of duty paid on various inputs as also on capital goods. Scrutiny of their records revealed that they had availed credit of Rs. 7,06,632/- in their RG 23A Ptd.II. Whereas only 50% of the same was ....

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....said confusion on the part of the appellant was attributed to introduction of SAP system during the relevant period on account of which cenvat entries pertaining to capital goods were captured wrongly in the head of inputs registered in the system. According to the appellant they have taken corrective measures to rectify the mistakes in their books of account. 4. In the above background, procee....

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....red to be allowed so as to neutralize the situation. As such the confirmation of demand in question in the above two appeals leading to denial of credit of duty paid on the capital goods is not justified. It is made clear that the appellant would get the credit of duty paid on the capital goods in accordance with law i.e. 50% in the first financial year and 50% in the subsequent financial year. Ap....

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....ommunications between the appellant and their Jurisdictional Central Excise Authority. The appellant have also attributed the said inadvertent mistake to the newly introduced SAP system. As such, in the absence of any mala fide on the part of the appellant. Imposition of penalty upon them is not justified. Otherwise also I find that even as per the Revenue, the credit was available to them but was....