2005 (7) TMI 164

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....ginally cleared by them on payment of duty and consequently returned to them by their customers as damaged/broken furniture. Such credit was availed by the appellant in terms of the provisions of the Rule 16 of Central Excise Rules, 2002. They have specifically contended before the authorities below that their dealers was returning the rejected furniture under their rejection memo and the same was invariably accompanied by the duplicate copies of the central excise invoices originally issued by them. These documents are clearly co-related to the returned furniture, as the furniture is printed with the month of manufacture, Rule 16 of Central Excise Rules, 2002 permits taking of credit on the returned goods. Reliance was placed upon the Trib....

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.... ld. Advocate and Shri N.V.B. Nair, ld. JDR. 5. Shri Patil has drawn my attention to Rule 16 of Central Excise Rules, 2002. For better appreciation, the same is being reproduced below : "Rule 16 - Credit of duty on goods brought to the factory. - (1) Where any goods on which duty had been paid at the time of removal thereof are brought to any factory for being re-made, refined, re-conditioned or for any other reason, the assessee shall state the particulars of such receipt in his records and shall be entitled to take Cenvat credit of the duty paid as if such goods are received as inputs under the Cenvat credit Rules, 2002 and utilise the credit according to the said rules. (2) In the process to which the goods are subje....

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....d by duty paying documents for the purpose of taking credit in terms of the Cenvat Credit Rules inasmuch as such receipt has to be treated as receipt of inputs. Further, it is also seen that the rules provide for bringing the goods to the factory for being re-made, refined, re-conditioned or for any other reason. Apart from the fact that the expression 'remade' as appearing in erstwhile Rule 173C was construed by the Tribunal as of wider import covering the process of 're-manufacture' in the case of Triveni Sheet Glass Works Ltd. - 1992 (62) E.L.T. 329 (Tri.) it is also noticed that the words 'or subjected to any other similar process in the factory' as appearing in the erstwhile Rule 173C are replaced by the express....