TaxTMI 
TaxTMI 
2022 (3) TMI 1215
X X X X Extracts X X X X
X X X X Extracts X X X X
....n both the appeals are same, both the appeals are taken up together for final disposal, for convenience. 2. The facts involved in both the appeals are also common; the appellant is undertaking the activity of decoiling, leveling and shearing/slitting and other processes of HR coils or CR coils received from customers including manufacturers, on job work basis. Further, as could be gathered from the impugned order, consequent to investigation conducted by DGCEI, Order-in-Original dt. 31/08/2005 was issued wherein it was held that the activity of cutting would not amount to manufacture and hence exempted from central excise levy, on the said activity, as the appellant was availing exemption as per Notification No.08/2005-ST and No.25/2012-....
X X X X Extracts X X X X
X X X X Extracts X X X X
....Business Auxiliary Service. 4. I have heard Shri N. Anand, learned advocate for the appellant and Shri Rama Holla, learned Superintendent(AR) for the Revenue and have considered the rival contentions and have gone through the documents as well as various decisions/public orders relied upon during the course of arguments. Rule 2(e) of CCR defines exempted services as under: "exempted services" means taxable services which are exempt from the whole of the service tax leviable thereon, and includes services on which no service tax is leviable under section 66 of the Finance Act." 5. Admittedly, it is not the case of the Revenue that no tax/duty is paid. From the perusal of the impugned Order-in-Appeal as well as Order-in-Origina....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nputs and the finished goods. Rule 57D(2), which has been extracted hereinabove, shows that in the manufacture of a final product an intermediate product may also come into existence. Thus in cases where intermediate product comes into existence, even though no duty has been paid on the intermediate product as it is exempted from whole of the duty or is chargeable to Nil rate of duty, credit would still be allowed so long as duty is paid on the final product. and thus, there is no bar for a service provider of job-work to avail CENVAT credit, and the same is the settled position in law. Further, exemption under Notification 8/2005 - ST is available only in respect of goods on which central excise duty is paid by the principal manufacture....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... cleared without payment of duty, any Cenvat credit of the duty paid on such inputs would not be available. The Adjudicating Authority sustained the allegations and ordered recovery of the Cenvat credits in question. On appeal, at the instance of the assessee, the Commissioner (Appeals) upheld the order of the Adjudicating Authority, against which appeal has been filed before the Tribunal by the assessee. The Tribunal, by following the decision rendered in CCE, Chennai v. Ucal Machine Tools Ltd., reported in 2006- TIOL-76-CESTAT-Mad allowed the appeal holding that the said decision of the Tribunal was accepted by the Department. In so holding the Tribunal also held that the machine forgings (job-worked goods) cleared by the assessee to the ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....were based on the decision of the Apex Court reported in 2004 (171) E.L.T. 145 - Escorts Limited v. Commissioner of Central Excise, Delhi. 3. Following the said decision, the questions raised in this appeal stand answered against the Revenue." 5. Following the above-said decision of this Court, the above Civil Miscellaneous Appeals are dismissed. No costs. Consequently, connected Miscellaneous Petitions are also dismissed." 8. Hon'ble Madras High Court in a later decision in the case of CCE Vs. Kyungshin Industrial Motherson ltd. [2016(332) ELT 69 (Mad.)] having considered a similar issue namely 9. We find that in the present case, the manufacture of wiring harness is done at Unit-I. The inputs are sent by Unit....