Simultaneous availment of CENVAT and SSI – Not allowed

By Vijay Kumar

The Ahmedabad Bench of the CESTAT has held that an SSI unit cannot avail CENVAT credit and SSI exemption simultaneously. This issue had been thoroughly analysed and decided in favour of the assessee by the Chennai Bench in Nebulae Health Care – 2006-TIOL-1380-CESTAT-MAD. Unfortunately this decision of the Chennai Bench was perhaps not brought to the notice of the Ahmedabad Bench. Moral of the story: Browse Taxindiaonline for the latest case law.