M/s Steel & Metal Tubes (I) Ltd. Versus Commissioner Central GST, Noida
Central Excise
2018 (12) TMI 236 – CESTAT ALLAHABAD – TMI
CESTAT ALLAHABAD – AT
Dated:- 25-10-2018
APPEAL No. E/70555/2018-EX[SM] – FINAL ORDER NO 72578/2018
Central Excise
Mrs. Archana Wadhwa, Member (Judicial)
Shri Rajesh Chhibber (Advocate) for Appellant
Shri Pawan Kumar Singh (Supdt.) AR for Respondent
ORDER
Per: Archana Wadhwa
After hearing both the sides I find that the appellant is engaged in the manufacture of Steel Pipes and Tubes and was procuring HR Coils from various sources including SAIL, Rourkela. The said HR Coils was being received through Rail and Railways were charging service tax for transportation of the same, which were shown in the Railway Receipt (RR), on the basis of which the appellant was claiming the credit.
2. However, w.e.f. 27.08.2014, the Cenvat Credit Rules were amended and Clause (a) was introduced after Clause (f) of sub Rule (1) of Rule 9 of Cenvat
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
dit and the credit availed by the consignee i.e., appellant is not proper. The appellant brought to the notice of the Adjudicating Authority a circular issued by the Board being Circular No. 1048/36/2016-CX dated 20.09.2016 wherein it was clarified that if the consignor is not availing the Cenvat Credit, the same can be availed by the consignee. The said circular was not followed by the Adjudicating Authority on the ground that the same stands issued in September, 2016 whereas the period involved in the appeal is from July, 2014 to March, 2015. It was also observed that since the STTG certificate was not issued by the Railways in the name of the appellant, the same would not form eligible document for the purpose of availment of credit. Hence demand to the tune of Rs. 10.58 lakhs approximately were confirmed along with confirmation of interest and imposition of penalty of identical amount.
The said order was upheld by Commissioner (Appeals). Hence the present appeal.
4. The facts are
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
or ready reference:-
“(v) In case if the Service Tax has been paid by the consignor but CENVAT credit is to be availed by the consignee, who is eligible for such credit as per the rules, the consignor shall make a written request to Railways for issue of consignee-wise STTG certificate duly indicting the RR details pertaining to the consignee in the format prescribed above. The competent Railway Authority shall issue the STTG certificate accordingly, even though it will require issuance of more than one STTG certificates to the customer (consignor) for a particular month. The consignor shall transfer the consignee-wise 'STTG certificate' in original to the consignee concerned. The consignee may avail the CENVAT credit on the strength of this certificate.
(vi) Where a consolidated STTG Certificate has been issued in terms of clause (iii), no STTG Certificate consignee-wise in terms of clause (v) shall be issued and vice-versa.”
As is clear from reading of the above paragraphs the c
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =