Custom, Excise & Service Tax Tribunal
Kaushal Foods Pvt Ltd vs Kanpur on 16 August, 2019
CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL
ALLAHABAD
REGIONAL BENCH - COURT No. I
Excise Appeal No.70676 of 2018-[SM]
(Arising out of Order-in-Appeal No. 192-CE/Appeal/Audit LKO/2018 dated
27/03/2018 passed by Commissioner of Customs, Central Excise & Service
Tax (Appeals), Lucknow)
M/s Kushal Foods Pvt. Ltd. .....Appellant
(Fatehpur Roshani, Rania, Kanpur Dehat)
VERSUS
Commissioner of Central Excise, ....Respondent
(Kanpur) APPEARANCE:
Shri Anuj Agarwal, Advocate for the Appellant Shri Anupam Kumar Tiwari, Authorised Representative for the Respondent CORAM: HON'BLE MR. ANIL G. SHAKKARWAR, MEMBER (TECHNICAL) FINAL ORDER NO-71551 / 2019 DATE OF HEARING : 16 August, 2019 DATE OF DECISION : 16 August, 2019 PER: ANIL G. SHAKKARWAR After hearing both the sides duly represented by Shri Anuj Agarwal learned Advocate appearing on behalf of the appellant and Shri Anupam Kumar Tiwari learned Authorised Representative appearing on behalf of Revenue, I note that appellant were job workers of M/s Parle Biscuits Pvt. Ltd., Mumbai. During the period from 23.10.2013 to 11.03.2014 appellant availed Cenvat credit as distributed by M/s Parle Biscuits Pvt. Ltd. to them on the strength of invoices issued by M/s Parle Biscuits Pvt. Ltd. under the provisions of Rule 7 of Cenvat Credit Rules. The credit could be distributed to their own units of M/s Parle Biscuits Pvt. Ltd. and could not be distributed to job-workers like the appellant and therefore, proceedings were initiated for recovery of Cenvat credit of Rs.2,19,080/- by 2 Excise Appeal No.70676 of 2018 issuance of show cause notice dated 04.08.2015 where longer period of limitation was invoked. The proceedings culminated into filing of present appeal before this Tribunal.
2. Both sides agree that the issue is no more res-integra and stands decided by this Tribunal in many cases including in the case of M/s K.N. Food Industries Pvt. Ltd. Vs Commissioner of Central Excise, Kanpur with M/s Pahladrai Confectioneries Pvt. Ltd. Vs Commissioner of Central Excise, Kanpur decided through Final Order Nos.71440-71441/2019 dated 12 July, 2019 in which it was held that on merit the issue stands decided against the appellant, however, in respect of extended period this Tribunal has observed that there was no malafiede and as such extended period could not be applicable.
3. In the present appeal demand stands raised against the appellant by invoking the longer period. I find that on merit the appellants have no case. The appellant are not eligible to avoid impugned Cenvat credit. However, in so far as recovery of the same is concerned the same can be recovered which falls within normal period of limitation. For such purpose, I set aside the demand and remand the matter to Original Adjudicating Authority for quantification of demand falling within the limitation period.
4. As I have already held that there was no malafied on the part of the appellant, penalty imposed is set aside in toto.
5. Appeal is allowed in above terms by way of remand.
(Dictated and pronounced in open court) (Anil G. Shakkarwar) Member (Technical) akp