TaxTMI 
TaxTMI 
2024 (5) TMI 556
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....17 dated 08.11.2016 passed by the then Principal Commissioner of Central Excise & Service Tax, Kakinada Commissionerate, dropping the demands proposed in the following three show cause notices, through this common order. S. No SCN No. & Date Period covered Demand under Rule 6 of CCR, 20024 @ 10% on the value of exempted goods 1 C.No.V/15/7/2006 Dt. 03.04.2006 March 2005 to October 2005 Rs.4,91,04,904 2 C.No. V/15/36/2006 Dt. 04.12.2006 November 2005 to May 2006 Rs.2,77,55,852 3 C.No.V/15/33/2007 Dt.02.07.2007 June 2006 to February 2007 Rs.5,34,04,148 2. The respondent is a manufacturer of various paper products, viz., Paper, Paper board, Newsprint in reels. While newsprint in rolls and shee....
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....mpted goods or services, then, the manufacturer or provider of output service shall maintain separate accounts for receipt, consumption and inventory of input and input service meant for use in the manufacture of dutiable final products or in providing output service and the quantity of input meant for use in the manufacture of exempted goods or services and take CENVAT credit only on that quantity of input or input service which is intended for use in the manufacture of dutiable goods or in providing output service on which service tax is payable. (3) Notwithstanding anything contained in sub-rules (1) and (2), the manufacturer or the provider of output service, opting not to maintain separate accounts, shall follow either of the ....
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....1995, G.S.R. 254 (E), dated the 16th March, 1995; (3) No. 63/95-Central Excise, dated the 16th March, 1995, G.S.R. 255 (E), dated the 16th March, 1995; (4) No. 64/95-Central Excise, dated the 16th March, 1995, G.S.R. 256 (E), dated the 16th March, 1995, (viii) Liquefied Petroleum Gases (LPG) falling under tariff items 2711 12 00, 2711 13 00 and 2711 19 00 of the said First Schedule the manufacturer shall pay an amount equivalent to the CENVAT credit attributable to inputs and input services used in, or in relation to, the manufacture of such final products at the time of their clearance from the factory; or (b) if the exempted goods are other than those described in condition (a), the manufacture....
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....zi), (zzk), (zzq) and (zzr) of clause (105) of section 65 of the Finance Act shall be allowed unless such service is used exclusively in or in relation to the manufacture of exempted goods or providing exempted services. (6) The provisions of sub-rules (1), (2), (3) and (4) shall not be applicable in case the excisable goods removed without payment of duty are either - (i) cleared to a unit in a special economic zone; or (ii) cleared to a hundred per cent. export-oriented undertaking; or (iii) cleared to a unit in an Electronic Hardware Technology Park or Software Technology Park; or (iv) supplied to the United Nations or an international organization for their official use or supplied to project....
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....R, 2004, i.e. quantifying the credit attributable to the inputs and input services used in the manufacture of said goods and reversing the same is admissible. But, the newsprint in reels, which is also exempted from payment of duty, is classifiable under heading 4823 and since the same is not covered in sub-rule (3) of Rule 6, the respondent had to pay 10 % of the price of the newsprint in reels cleared by them. Accordingly, the above demands have been made. 6. The respondent wishes to submit that the issue of classification of newsprint in reels was separately being agitated and the Bangalore bench of the Hon'ble CESTAT, in the appellant's own case, reported in [2006 (206) ELT 830 Tri-Bang] has held that newsprint in reel is classifiabl....
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.... dutiable and exempted goods. 9. Subsequently, the following Addendums have been issued to the first two show cause notices, incorporating the allegation that the respondent had used common input services in the manufacture of dutiable and exempted goods. S. No. SCN Reference Period Addendum issued on 1 C.No.V/15/7/2006 Dt. 03.04.2006 March 2005 to October 2005 11.05.2007 2 C.No. V/15/36/2006 Dt. 04.12.2006 November 2005 to May 2006 11.05.2007 10. During the relevant period, any demand within the normal period of limitation have to be issued within one year from the relevant date and the above two show cause notices have been issued within the normal period. It is evident that the above Addendums to....