TaxTMI 
TaxTMI 
2020 (12) TMI 696
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....the facts of the case are that the appellant, M/s.Anmol Stainless Private Limited, is engaged in the business of manufacture of cold rolling of thick stainless sheets, slitting in small sizes, making stainless pipes etc. classifiable under Chapter No. 73049000 of the First Schedule to the Central Excise Tariff Act, 1985. 3. Based on an EA 2000 audit of the excise and service tax records of the Appellant for the period from 2012-13 to 2014-15, a Show cause notice dated 15/12/2016 was issued alleging irregular availment of Cenvat credit to the tune of Rs. 3,66,578/- along with interest and penalty. It is the case of the department that the Appellant had availed Cenvat credit on goods returned by its customers under Rule 16 of the Central Exc....
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....t had demanded reversal of entire Cenvat credit availed by the Appellant on the imported China pipes on the ground that the process undertaken by the Appellant on such pipes does not amount to manufacture under Central excise and thus the Appellant had reversed the total Cenvat credit availed on such China pipes by way of payment of excise duty and balance by way of reversal from the credit ledger of the Appellant. The Cenvat credit availed by the Appellant on the goods retuned would not require further reversal as the Appellant had again paid excise duty on the said removal of the goods. The appellant has also produced a statement showing the resale of the retuned goods after making payment of excise duty for the same. 5. The Ld. Chartere....
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....ind that the Appellant has produced copies of its tax invoice, credit note as well as buyer's debit note for return of the said duty paid goods by its customers (page 111-112 of the appeal paper book). From the same it is clear that the Appellant had sold goods after payment of excise duty to it's customers and when the same are returned for any reason, the Appellant is entitled to Cenvat credit of the same subject to conditions of Rule 16 of the Central Excise Rules, 2002, which are reproduced for ready reference as below: "Rule 16 of Central Excise Rules, 2002- (1) Where any goods on which duty had been paid at the time of removal thereof are brought to any factory for being re-made, refined, re-conditioned or for any other reason, the ....
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....to pay appropriate excise duty. In the present case, there is no dispute on payment of duty on the re-issue of the goods on which credit was taken. Therefore, in terms of Rule 16, the Appellant is entitled for the credit. Further, the issue is no more res - integra. The Tribunal in the case of BALMER LAWRIE & CO. LTD supra has held - "From the plain reading of the above Rule, it clearly provides that on the duty paid goods brought in the factory, the assessee can avail the Cenvat credit as if there is receipt of input. Rule does not prohibit taking credit on the assessee's own invoices. The appellant own invoice in present case is duty paid invoice therefore, whether the invoice is of appellant's own or issued by person returns the goods ba....