Case Law Details
Pepsico (I) Holdings Pvt. Ltd. Vs Commissioner of CE & ST (CESTAT Mumbai)
CESTAT Mumbai held that as the appellant has duly reversed the CENVAT Credit on inputs used in respect of finished goods contained in the broken bottles of beverages, the appellant is not liable to pay excise duty on the same.
Facts-
The appellants were engaged in the manufacturing of aerated water at Roha plant. The aerated water manufactured by them is bottled in glass bottles. In their store the goods manufactured by them as well as other units (received on payment of duty) are stored. During the course of handling and storage some of the glass bottle break which are removed to scrap yard. Appellant reversed amount of Rs 5,47,217/- in September 2010, towards the CENVAT credit availed on such breakages.
The revenue issued show cause notices proposing to recover excise duty in respect of these breakage treating them as finished goods beverages, along with interest and penalty.
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