Summary
- Customs, Excise and Service Tax Appellate Tribunal Chennai Regional Bench in M/s. Tamil Nadu Newsprint and Papers Ltd vs Commissioner of GST and Central Excise
- Whether the appellant correctly applied Rule 6(3A) of the CENVAT Credit Rules, 2004 regarding common credit reversal for exempted goods/services.
- Court observed that the appellant correctly confined the computation to common credit and included electricity and trading turnover for determining proportionate reversal.
- The interpretation that "total CENVAT credit" under Rule 6(3A) includes only common credit is supported by judicial precedents, ensuring legitimate credit is not denied.
- This judgment clarifies the application of Rule 6(3A) and reinforces the principle that penalties cannot be imposed without evidence of intent to evade duty.
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