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Cus - When there is nothing on record to show that appellant had connived with other three persons to import AA batteries under the guise of declaring goods as Calcium Carbonate, penalty imposed on appellant are set aside: HCCongress fields Rahul Gandhi from Rae Bareli and Kishori Lal Sharma from AmethiCus - The penalty imposed on assessee was set aside by Tribunal against which revenue is in appeal is far below the threshold limit fixed under Notification issued by CBDT, thus on the ground of monetary policy, revenue cannot proceed with this appeal: HCGST -Since both the SCNs and orders pertain to same tax period raising identical demand by two different officers of same jurisdiction, proceedings on SCNs are clubbed and shall be re-adjudicated by one proper officer: HCFormer Jharkhand HC Chief Justice, Justice Sanjaya Kumar Mishra appointed as President of GST TribunalSale of building constructed on leasehold land - GST implicationI-T - If assessee is not charging VAT paid on purchase of goods & services to its P&L account i.e., not claiming it as expenditure, there is no requirement to treat refund of such VAT as income: ITATBengal Governor restricts entry of State FM and local police into Raj BhawanI-T - Interest received u/s 28 of Land Acquisition Act 1894 awarded by Court is capital receipt being integral part of enhanced compensation and is exempt u/s 10(37): ITATCops flatten camps of protesting students at Columbia UnivI-T - No additions are permitted on account of bogus purchases, if evidence submitted on purchase going into export and further details provided of sellers remaining uncontroverted: ITATTurkey stops all trades with Israel over GazaI-T- Provisions of Section 56(2)(vii)(a) cannot be invoked, where a necessary condition of the money received without consideration by assessee, has not been fulfilled: ITATGirl students advised by Pak college to keep away from political eventsI-T- As per settled position in law, cooperative housing society can claim deduction u/s 80P, if interest is earned on deposit of own funds in nationalised banks: ITATApple reports lower revenue despite good start of the yearI-T- Since difference in valuation is minor, considering specific exclusion provision benefit is granted to assessee : ITATHome-grown tech of thermal camera transferred to IndustryI-T - Presumption u/s 292C would apply only to person proceeded u/s 153A and not for assessee u/s 153C: ITATECI asks parties to cease registering voters for beneficiary-oriented schemes under guise of surveys
 
CX - Default in payment of duty by due date - Rule 8(3A) of CER, 2002 disallowing use of CENVAT credit while paying consignment wise duty has been held to be ultra vires by Gujarat HC & moreover, an amendment is made on 11.07.2014 deleting this clause: CESTAT

By TIOL News Service

ALLAHABAD, APR 16, 2016: ON scrutiny of ER-I Returns for the month of January, 2012 and February, 2012, it was noticed that the appellant had not paid the duty by the due date and some amount was in arrear which was paid later.

Revenue view is that the appellant could not have utilised the Cenvat credit as provided under Rule 8(3A) of CER and accordingly, was liable to pay the amount of Rs.2,63,792/- in cash along with interest and that penalty was also imposable.

The demand was confirmed along with equal amount of penalty under Rule 25 of CCR read with section 11 AC of the Act.

Having failed before the Commissioner (Appeals), the assessee is before the CESTAT and cites the Gujarat High Court decision in Indsur Global Limited - 2014-TIOL-2115-HC-AHM-CX where it is held that the portion of the Rule "without utilising the Cenvat credit" of sub-Rule 3(A) of Rule 8 of CER, 2002 is invalid and ultra-vires of the Constitution of India. Reliance is also placed on the Madras High Court decision in Malladi Drugs & Pharmaceuticals Ltd. - 2015-TIOL-1262-HC-MAD-CX, wherein following the ruling of Gujarat High Court and also relying on the ruling of Supreme Court in the case of Collector Vs. Dai IchiKarkaria Ltd. - 2002-TIOL-79-SC-CX-LB it was held that there is no case of availing the wrong/irregular credit & right to utilise such credit in paying duty cannot be taken away;that Rule 8(3A) being procedural prescribing manner and method of payment of duty cannot interfere with substantive rights provided in CCR, 2004. It is also pointed out that the Gujarat HC ruling was also followed by Punjab & Haryana High Court in the case of Sandley Industries Vs. Union of India: - 2015-TIOL-2490-HC-P&H-CX and wherein it was also taken note that with effect from 11/07/14 [Notfn. 19/2014-CE(NT)] the said words "without utilising the benefit of Cenvat credit" where deleted from Rule 8(3A) of the CER, 2002.

The AR did not have much to add.

The Bench observed that the facts in the present case are squarely covered by the Gujarat High Court ruling in the case of Indsur Global (supra).

The impugned order was set aside and the appeal was allowed.

(See 2016-TIOL-901-CESTAT-ALL)


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