Case Law Details
Mahavir Transmission Ltd Vs Commissioner of Central Goods and Service Tax (CESTAT Delhi)
CESTAT find that the Division Bench of this Tribunal have held in the case of Bharat Heavy Electricals Ltd. Vs. Commissioner, CGST [2020-TIOL-1341-CESTAT- Delhi] that an assessee is entitled to refund of unutilized cess under the existing law, lying in credit as on 30/06/2017. Division Bench had relied upon the ruling in the case of Eicher Motors vs. Union of India [1999 (106) ELT 3 (S.C.)] and also in Samtel India vs. CCE [2003 (155) ELT 14 (S.C.)] and also of the Karnataka High Court in the case of Slovak India Trading Co. Pvt Ltd. [2006 (201) ELT 559. (KKR.)] Following the ruling of the Division Bench of the Tribunal, Single Member Bench (Tri-Blr) in Kirloskar Toyota Textile Machinery Pvt. Ltd. Vide Final Order No. 20697/2021 dated 19/08/2021, considered refund of unutilized credit of EC. & SHEC on 30/06/2017, it was held that such refund be granted to the assessee as it neither lapses, nor the same was time barred.
In the facts of the present case, I find that, had the appellant not utilized the Cenvat credit of EC & SHEC for payment of output tax/duty in December 2016, the same would have become refundable as on 30/06/2017. If the appellant is required to deposit the said amount of Rs. 3,27,325/- in cash, it will become entitled to refund of the duty earlier paid by utilization of credit of EC & SHEC, thus the situation is wholly revenue neutral. In this view of the matter, I allow this appeal and set aside the impugned order.
FULL TEXT OF THE CESTAT DELHI ORDER
Heard the parties.
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