2026 (1) TMI 1345

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....sioner has confirmed the demand of Rs.14,13,269/- along with interest and also imposed the penalty of Rs.10,18,457/- by denying the Cenvat Credit availed on the insurance for transportation of the goods on FOR destination basis. 2. Briefly stated facts of the present case are that:- • The Appellant are engaged in manufacture of air-conditioners and refrigerators falling under Chapter Heading 84151010 & 84183010 of the First Schedule to the Central Excise Tariff Act, 1985 and also provide repair & maintenance service to the customers. • Appellant's records were audited by A.G. (Audit) Haryana, Chandigarh from 18.10.2010 to 20.10.2010 and it was observed that the Appellant had taken Cenvat Credit on various servic....

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....omputing the Cenvat Credit availed on insurance of goods beyond the place of removal. • Thereafter, the learned Commissioner, vide the present impugned OIO, adjudicated the SCN dated 07.08.2015 and on the direction given in the remand order of the Tribunal, allowed the Cenvat Credit of Rs.1,27,424/- availed on construction service, but disallowed the Cenvat Credit of Rs.10,18,457/- availed on insurance for transporting the goods to the customers' premises on FOR basis for the period from April 2006 to February 2012 (remand back period); and further, the Cenvat Credit of Rs.3,94,812/- was disallowed on the same service for the period from August 2014 to July 2015 (period as per SCN dated 07.08.2015). • Being aggriev....

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....the premises of the customers. In this regard, he relies on the following decisions: • Inox Air Products Pvt Ltd vs. Asstt. Commr. of CE & ST - 2024 SCC OnLine HP 4547 • Bharat Fritz Werner Ltd vs. CCE - 2022-TIOL-940-HC-KAR-CX • The Ramco Cement Ltd vs. CCE - Interim Order No. 40020/2023 dated 21.12.2023 in E/40575/2018 - CESTAT Chennai • Hindustan Zinc Ltd vs. CCE & ST, Udaipur - Final Order No. 55555-55564/2024 dated 18.04.2024 in E/51652/2021 - CESTAT Delhi • A.C.C. Ltd vs. CCE & ST, Bhopal - Final Order No. 58757/2024 dated 01.10.2024 in E/50528/2019 - CESTAT Delhi • Montage Enterprises Pvt Ltd vs. CCE & ST, Jammu - Final Order No. 60531-60532/2025 dated 19.0....

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....establishes fraud, willful mis-statement or suppression etc. He further submits that the demand for the period from April 2006 to March 2010 in respect of the Cenvat Credit amounting to Rs.5,94,185/-, is time barred. For this, he relies on the following decisions: • Mahesh Chemicals Allied Industries and Suresh Goyal vs. CCE & GST - 2024-TIOL-1120-CESTAT-CHD • G.D. Goenka Pvt Ltd vs. CCE & GST - 2023-TIOL-782- CESTAT-DEL • Delhi Airport Metro Express Pvt Ltd vs. CCE & GST - Final Order No. 50031/2024 dated 11.01.2024 in ST/50919/2015 - CESTAT Delhi • Mahanagar Telephone Nigam Ltd vs. UOI & Ors - 2023-TIOL-407-DEL-ST 4.6 As regards the interest and penalty, the learned Counsel submits th....

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....firmed the demand for the said limited purpose. He also submits that the SCN dated 07.08.2015, only demand for the said limited purpose as per computation given by the Appellant along with interest has been confirmed. 5.3 The learned Authorized Representative further submits that in the present impugned OIO, the Adjudicating Authority has only complied with the direction given by the Tribunal vide its Final Order No. 28/2015-CHD dated 02.12.2015. He further submits that the Tribunal cannot review its own order dated 02.12.2015. For this, he relies on the following decisions: • Premier Footwear Products Pvt Ltd vs. CCE - 2011 (271) ELT 278 (Tri. Chennai) • Premier Footwear Products Pvt Ltd vs. CCE - 2014 (301) EL....

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....rcular No. 1065/4/2018-CX dated 08.06.2018. 9. Further, we find that by considering the Circular No. 1065/4/2018-CX dated 08.06.2018 and various judgments of the Courts, the Hon'ble High Court of Himachal Pradesh in the case of Inox Air Products Pvt Ltd (supra) has held that the Assessee are entitled to avail the Cenvat Credit on insurance of goods while transporting the same to the customers' premises on FOR basis. Therefore, by following the said judgment of the Hon'ble High Court of Himachal Pradesh, we hold that the Appellant are entitled to Cenvat Credit on insurance service for the subsequent period from August 2014 to July 2015. 10. Further, we hold that for prior period from April 2006 to February 2011, the Appellant are not e....