TaxTMI 
TaxTMI 
2024 (11) TMI 663
X X X X Extracts X X X X
X X X X Extracts X X X X
....oth on payment of duty and without payment of duty by utilizing the exemption granted under various notifications, Revenue issued Show Cause Notice towards the Cenvat taken by them. Three Show Cause Notices were issued on the ground that they have taken the Cenvat Credit commonly, even in respect of exempted goods apart from the eligible Cenvat on duty goods. Excise Duty was demanded @ 5%/6% of the value of the exempted goods. After due process the Adjudicating Authority confirmed the demand. 2. On appeal, this Tribunal vide Final Order No. A/55751/2016 dated 08/12/2016 remanded the matter to the Adjudicating Authority. It was directed that the appellant is required to reverse the common Cenvat Credit to the extent that the same pertains t....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ections of the Tribunal correctly, the Adjudicating Authority has correctly quantified the Cenvat to be reversed and passed the order dropping the balance demand. She further submits that in the case of Mercedes Benz India (P) Ltd. Vs. Commr. of C. Ex., Pune-I-2015 (40) S.T.R. 381 (Tri. Mumbai), the Hon'ble Bench has held that reversal of Cenvat Credit in respect of the common inputs would sufficient and demand made under 5/6% value of the exempted goods is not legally sustainable. In view of these submissions, she prays that the Revenue's appeal may be dismissed. 5. Heard both sides and perused the documents placed before us. 6. It is seen that the impugned order has been passed by the Adjudicating Authority as per the directions of the ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e lower authority, he has not given any finding as to whether the reversal already made satisfies the test of proportionate reversal in terms of quantum of reversal. Hence, we are of the considered opinion that the matter is to be remanded to the original adjudicating authority to verify whether the amount of Cenvat credit already reversed along with interest satisfies the requirement of proportionate reversal. We also make it clear that there is no justification for demand of the amount equivalent to 10%/5% of the value of electricity wheeled out. The appellant should be given an opportunity to argue their case before the original adjudicating authority who is directed to pass order expeditiously within a period of three months of the date....