2005 (2) TMI 162

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....enue has filed this appeal under Section 35G of the Central Excise Act, 1944 (for short "the Act") against the order of the Customs, Excise and Service Tax Appellate Tribunal, New Delhi (for short "the Tribunal"), dated 4-3-2004 (Annexure P-3). 2. The assessee is engaged in the manufacture of Texturised Polyester yarn  and  was availing facility of Cenvat credit on capital goods under....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....,000/- could be treated as Central Excise Duty and the excess amount of Rs. 5,65,518/- paid by the supplier could not be considered as Central Excise Duty. He was, thus, of the view that the assessee was entitled to Cenvat credit of Rs. 2,24,000/- only (50% of Rs. 4,48,000/-) instead of Rs. 5,06,759/- claimed by it. Accordingly, he disallowed the credit of Rs. 2,82,759/- (506759-224000) and ordere....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....edit only on the due duty payable on the goods and not on the duty which had been paid by the supplier. But, in my view, this ground is legally not tenable. The perusal of the records show that before sale of the capital goods, the supplier, M/s. Deviyani Tex. Chem. Pvt. Ltd.,  through letter dated 25th May, 2002 informed  the sale of the goods and also clearly mentioned, in that letter ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....o the appellants. The ratio of the law laid down in the case of Vikas Hybrids & Electronics Ltd. v. CCE, Jaipur, 2002 (149) E.L.T. 1357, referred to by the learned Commissioner (Appeals) in the order has got no application to the facts of the present case as the facts in the present case are quite different." 4. From the above, it is clear that the calculation of Excise Duty at the time of sale....