2026 (6) TMI 4

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....t of duty paid on capital goods and input services and utilizing the credit earned for payment of duty on goods exported and claiming rebate of duty. The Appellant was using common input services in the manufacture of both dutiable and exempted final products and were paying/reversing the amount attributable to input services used in or in relation to manufacture of exempted goods in terms of Rule 6(3) of Cenvat Credit Rules, 2004 (hereinafter called as 'CCR). While computing the value of exempted goods for the purpose of reversal of attributable Cenvat Credit on input services availed on exempted goods, the Appellant have excluded the value of export goods cleared under Exemption Notification No.30/2004-CE dated 09.07.2004, DEPB and cl....

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....0926 of 2017) relied upon by the ld. Advocate and we find that the above issue has been considered and discussed and after following other precedents, the appeal was allowed in favour of the tax payer. The relevant observations of the Bench are reproduced for convenience as under : "7.7 In the case of Sri Velayutham Spinning Mills (P) Ltd. Versus Commissioner of GST & Central Excise, Madurai 2024 (8) TMI 1207 - CESTAT CHENNAI in Para 5 of the Decision it has been held as follows: - "5. On perusal of the impugned order, I find that the issue stands covered by the decision in the case of M/s. Drish Shoes Ltd. (supra), wherein the Hon'ble High Court has analyzed the issue as to whether credit is eligible on the duty paid on i....

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....durai vide Final Order No. 41095/2024 dated 19.8.2024. Both the Benches after discussing the issue in detail have held that the demand alleging that the appellant has to pay/ reverse the duty amount, after including the value of export clearances was not proper and have set aside the orders." 7.8 Judicial discipline requires that we follow the judgment of the Hon'ble High Court and the decisions of this Tribunal for an earlier period, especially when the issues therein have not been distinguished on facts and law by Revenue. Therefore, the first question is answered in favour of the Appellant. ... ... ... 9.1 The next question before us is whether the value of Cotton yarn cleared for Job work for manufacture of gr....