2019 (12) TMI 604

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....ed. The case of the department is that since the common input service on which credit was availed was used in respect of trading turn over, appellant is required to pay 6% in terms of Rule 6(3). Accordingly, the demand of an amount equivalent to 6% of sale value of trading was confirmed. The same was upheld by the Commissioner (Appeal), therefore, the present appeal is filed. 2. Sh. Amal Dave, Learned Counsel appearing on behalf of the appellant submits that the appellant have reversed the Cenvat Credit attributed to the trading activity along with interest after the adjudication of the Show Cause Notice. Therefore, the reversal of Cenvat Credit along with interest is in conformation of Rule 6(3A) of Cenvat Credit Rules, 2004. Therefore,....

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...., but, after the adjudication of the Show Cause Notice the appellant have reversed Cenvat Credit along with the interest attributed to trading activity. With this fact the situation became as if no Cenvat Credit was taken right from the date of taking credit by the appellant. This has been ruled by the Hon'ble Supreme Court in the Case of following judgment. • 1996 (81) E.L.T. 3 (S.C.) M/s. Chandrapur Magnet Wires (P) LTD. V/s COLLECTOR OF C. EXCISE, NAGPUR. 5. This tribunal in various subsequent cases held that once the Cenvat Credit along with interest has been paid, no demand of 6% can be made. In the case of Mangal Textiles Pvt. Ltd., this tribunal vide Order No. A/12/WZB/AHD/2011 Dated 16.12.10 passed the following orde....

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....d that the benefit of Notification granting exemption on the final product has to be extended even if the reversal of credit on the input was done at the Tribunal's stage. The Hon'ble High Court further observed that reversal of credit for availing benefit of the notification is important and the time of such reversal was immaterial. As such, the Tribunal was not justified in taking a view that reversal of credit having been made by the petitioners after removal of final product will make him dis-entitled to the benefit of Notification No. 15/94-C.E. involved in that case. The appellant having reversed the major part of the credit and having offered to reverse the balance credit, would be entitled to benefit of Notification No. 30/94, in th....