2002 (4) TMI 179

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ent has come in an appeal on the ground that the Commissioner (Appeals) has erred in allowing Modvat credit. According to the Department, as per Notification No. 14/95-C.E. (N.T.), dated 20-4-95 which amends Notification No. 32/94-C.E. (N.T.), dated 4-7-94 for taking Modvat credit on an invoice issued under Rule 57G, there should be a sale involved. Since in the present case there was no sale or s....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..... Paras 6 and 7 of the impugned order are from under - "6. I find that in the instant case, Modvat credit has been disallowed for the sole reason that the invoices on which credit is availed are received in stock transfer and not "sale" transaction, whereas as per Notification No. 14/95-C.E. (NT) dated 20-4-95, there should be sale of goods to the person availing Modvat credit under Rule 57G of....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ate for the purposes of the definition of "sale" in CEA : S. 2(h), and Modvat credit of the duty paid on the goods so transferred is permissible. Commissioner (Appeals), Tiruchirapally in the case of Coimbatore Cots and Coating Ltd. - 1999 (106) E.L.T. 575 Commissioner (Appeals) has held that the stock transfer is covered within the meaning "sale" as defined in Section 2(h) of the Central Excise A....