Customs, Excise and Gold Tribunal - Delhi
C.C.E., Chandigarh vs M/S. J.C.T. Ltd. on 7 March, 2001
ORDER
S.S. Kang
1. The revenue filed these appeals against the order-in-appeal passed by the Commissioner (Appeals).
2. In the impugned order, the benefit of MODVAT credit, in respect of capital goods, was allowed to the respondents. In the impugned Order in Appeal No. E/886/00-NB(S), the Commissioner (Appeals) held that notification no. 14/96-CE (NT) dated 23.7.96 is clarificatory in nature and applies retrospectively.
3. Heard both sides.
4. The issue in respect of scope of capital goods is now settled by the five member Larger Bench of the Tribunal in the case of C.C.E. vs Surya Roshi Ltd. reported in 2001 (128) E.L.T. 293. The Larger Bench in this case held that notification no. 14/96 CE (NT) is prospective in nature and the question of eligibility of MODVAT Credit on each item shall be seen at the relevant time in view of the definition of the capital goods, which was in existent at that time. Therefore, the whole issue requires de novo adjudication and the adjudicating authority, in the light of the Larger Bench decision of the Tribunal in the case of Surya Roshni Ltd. (supra). (sic) Therefore, the impugned order is set aside and the matter is remanded to the adjudicating authority for de novo adjudication and the adjudicating authority will pass an appropriate order after affording an opportunity of personal hearing to the appellants. The appeals are disposed of by way of remand. (Dictated in court).