COMMISSIONER OF CENTRAL EXCISE Vs. NESTLE INDIA LTD.

JUDGEMENT

(1.) Common issue is involved in these appeals, therefore, they are being taken up together.

(2.) Brief facts of the case are that the respondents are engaged in the manufacture of excisable as well as exempted goods. The respondents are availing the benefit of Modvat credit in respect of duty paid on Residual Furnace Oil which is used to generate steam. The steam so generated is used in or in relation to the manufacture of dutiable as well as exempted goods.

(3.) The respondent reverse the credit in respect of the input i.e. Residual Furnace Oil used in the manufacture of exempted goods. A SCN was issued to the respondent for demanding duty amount equal to 8% of the value of exempted goods as respondents are availing the credit in respect of inputs used in the manufacture of dutiable and exempted goods.