Notification No. 22 /2008 - Central Excise (N.T.) dated
Regarding CENVAT credit taken or utilized in the making of metallised plastic
G.S.R. (E) . -In exercise of the powers conferred by section 5B of the Central
Excise Act, 1944 (1 of 1944), the Central Government hereby orders that where an
assessee has paid duty of excise on metallised plastic film, falling under
Chapter 39 (hereinafter referred to as final product),the CENVAT credit taken or
utilized, of the duty or tax or cess paid on inputs , capital goods and input
services used in the making of the said final product, shall not be required to
be reversed, irrespective of the fact that the process of metallization of
duty-paid film was held as not amounting to manufacture by the Supreme Court in
Civil appeal Nos. 3224-3225 of 1998 with C.A. No. 5716 of 1998, decided on the
12th February,2004 in the case of M/s Metlex(I) Pvt. Ltd. Vs Commissioner of
C.Ex. New Delhi, subject to following conditions, namely:-
(a) the said non-reversal shall be allowed only for the CENVAT credit taken upto
the 12th February,2004.
(b) the said non-reversal shall be allowed only when excise duty has been paid
on removal of the said final product.
(c) the said assessee shall not prefer a claim of refund of the excise duty paid
by him on the said final product:
Provided that the CENVAT credit, if any, taken by the buyer of the said final
product, of the excise duty paid by the said assessee on the said final product
made and cleared upto the 12th February,2004 shall not be required to be
Under Secretary to the Government of India.
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