2022 (9) TMI 850

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....ion 11A of the Central Excise Act, 1944 and imposition of penalty equal to the duty demanded under Rule 15 of the Cenvat Credit Rules vide show cause notice dt.30.7.2010. Sl. No Demand against Amount (Rs) 1 Credit availed on input services 2,43,24,231 2 Credit availed on Dumpers 6,42,720 3 Credit availed on welding electrodes, welding machines and MS Rolla Deck profile sheet, as capital goods 17,770   TOTAL 2,49,75,078 2. The demand was made vide the impugned order on the following grounds: (a) Availment of input tax credit on input services such as erection and commissioning etc., used at the time of construction of factory is incorrect, since they were used for manufacture o....

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....cember 2010 A/30532/2018 dt.20.02.2018 3.1. Thus, the issue of availment of credit on input services availed at the time of setting up of factory is no more res integra. Few other decisions in this regard relied upon are: (a) Liugong India Pvt Ltd vs. CCE & ST 2015 (38) STR 96 (Tri-Del) (b) Orient Cement Ltd vs. CCE, Hyderabad 2017 (51) S.T.R. 459 (Tri. - Hyd.) (c) Maruti Suzuki India Ltd vs. CCE, Delhi 2017 (47) S.T.R. 273 (Tri. - Chan.) 4. Denial of Cenvat Credit on dumpers on the ground that they fall under Chapter 87 and not specified under Rule 2(a)(A)(i) of CCR, 2004. The appellant submits that as per the settled legal position, credit is allowed on dumpers as inputs even if they are not c....

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....lectrodes, welding machines and MS Rolla Deck Profile sheets is not correct. 5.1. Welding material used for fabrication and repairs and maintenance of the plant and machinery is essential for smooth manufacturing operations, without which manufacturing activity is not feasible, therefore, the cenvat credit is clearly admissible as held in the following cases: (a) Nayara Energy Limited Vs CCE, Rajkot [2021(8) TMI 644- Cestat Ahmedabad] (b) Jai Balaji Industries Limited Vs CCGST, Bolpur Commissionerate[2021(6) TMI 1106-Cestat Kolkata] (c) CCE, Meerut Vs Bajaj Hindustan Ltd [2013 (11) TMI 943- Cestat New Delhi] 6. Even assuming that credit is not allowed on the welding material and another input, imposition of ....