Custom, Excise & Service Tax Tribunal
Cce, Chandigarh vs M/S Drish Shoes Ltd on 31 August, 2017
CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL SCO 147-148, SECTOR 17-C, CHANDIGARH 160 017 COURT NO. I APPEAL NO. E/1020/2009 [Arising out of Order-in-Appeal No. 99/CE/CHD/2009 dated 16.02.2009 passed by the Commissioner of Central Excise (Appeals), Chandigarh.] Date of hearing/decision: 31.08.2017 For approval and signature: Honble Mrs. Archana Wadhwa, Member (Judicial) Honble Mr. Devender Singh, Member (Technical) =======================================================
CCE, Chandigarh.
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Appellant(s) VS M/s Drish Shoes Ltd.
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Respondent(s) ======================================================= Appearance:
Sh. V. Gupta, AR for the Appellant(s) None for the Respondent(s) CORAM:
Honble Mrs. Archana Wadhwa, Member (Judicial) Honble Mr. Devender Singh, Member (Technical) FINAL ORDER NO. 61717/2017 Per : Archana Wadhwa Being aggrieved with order passed by the Commissioner (Appeals), the Revenue has filed the present appeal. We have heard the Ld. AR appearing for the Revenue. Nobody appeared for the respondent.
2. As per facts on record, the respondent is engaged in the manufacture of shoes and exports the same under Bond/LUT, without payment of duty. The refund of Cenvat Credit availed on inputs used in the manufacture of such exported shoes was claimed by them in terms of the provisions of Rule 5 of Cenvat Credit Rules.
3. The same was denied to them by the adjudicating authority on the ground that since the exported products attracts Nil rate of duty and have not suffered any duty, they were not entitled to avail the Cenvat Credit in the first instance itself and as such the question of refund of the same does not arise. Accordingly, the same was rejected.
4. On an appeal against the said order, the Commissioner (Appeals) observed that in terms of the Honble Bombay High Court order in the case of Repro India Ltd. Vs. UOI 2008 (88) 481 (Bom.), it has been held that even exempted goods or goods chargeable to nil rate of duty can be exported under bond and input credit would be admissible in such export goods. He also referred to the Tribunals Final Order No. 843/08-09 dt. 03.10.2008, in the same assessees case, wherein the benefit of Cenvat Credit and its consequent refund was allowed in terms of the provisions of Rule 5 of the Cenvat Credit Rules.
5. The Revenue has filed the present appeal on the sole ground that the said order of the Tribunal has not been accepted by them and an appeal stand filed there against before the Honble High Court.
6. Ld. AR appearing for the Revenue fairly agrees that the Revenues appeal, filed before the Honble Himachal Pradesh High Court, stands rejected, as reported in 2010 (254) ELT 417 (HP). As such, he submits that though the Revenue has further taken up the matter before the Honble Supreme Court but there is no stay on the operation of the said order.
7. Inasmuch as the issue not stands decided by the Honble High Court of Himachal Pradesh in the same assessee case, we note that the Revenues appeal has no merit, accordingly, the same is rejected.
(Dictated & pronounced in the open court) Devender Singh Member (Technical) Archana Wadhwa Member (Judicial) NS 3 E/1020/2009- CHD