Relief to JSW Steel: Supreme Court upholds CESTAT Order Allowing Cenvat Credit [Read Judgement]
The CESTAT found that the order passed by the adjudicating authority that M S Rebars do not fall under CH 98.01 is erroneous and not supported by any basis.
![Relief to JSW Steel: Supreme Court upholds CESTAT Order Allowing Cenvat Credit [Read Judgement]](https://images.taxscan.in/h-upload/2025/08/03/2072631-relief-jsw-steel-supreme-court-cestat-order-cenvat-credit-taxscan.webp "Relief to JSW Steel: Supreme Court upholds CESTAT Order Allowing Cenvat Credit [Read Judgement]")
The Supreme Court upheld the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT ) order allowing Cenvat Credit in favour of JSW Steel and dismissed the appeal for condoning gross delay of 309 days in the absence of a satisfactory explanation. The petition arose out of an "impugned order dated 01-03-2024 passed by the Customs Excise and Service Tax Appellate Tribunal,...
The Supreme Court upheld the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT ) order allowing Cenvat Credit in favour of JSW Steel and dismissed the appeal for condoning gross delay of 309 days in the absence of a satisfactory explanation.
The petition arose out of an "impugned order dated 01-03-2024 passed by the Customs Excise and Service Tax Appellate Tribunal, South Zonal Bench, Chennai" in the case of The Commissioner Of Gst And Central Excise V. M/S Jsw Steel Limited. The CESTAT's order was in favor of JSW Steel Limited and was not overturned.
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The denial of CENVAT credit seems to be connected to the case. The government contended that by mistakenly claiming an exemption under a certain notification, JSW Steel had cleared excisable products (M.S. Rebars) without paying duty. JSW Steel argued that the credit was legitimate since it had a revised Project Authority Certificate that addressed the difference in the number of items.
In its March 1, 2024, order, the CESTAT upheld JSW Steel's claim and revoked the Commissioner's previous order-in-original. The department's claim that CENVAT credit was ineligible was deemed without merit by the CESTAT.
Service of Excise Adjudication Order through Post Disputed: Supreme Court dismisses Case lacking Grounds to Interfere [Read Order]
It was found that the Appellants have fulfilled the conditions prescribed under Sl No 91 of Notification No 6/2006 CE dated 1.3.2006 for supply of MS Rebars to M/S Lanco Infratech Ltd who was awarded the contract through International Competitive Bidding for execution of Civil Works for Mega Power Project under the name of Udupi Power Corporation Ltd and hence eligible for exemption.
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The CESTAT found that the order passed by the adjudicating authority that M S Rebars do not fall under CH 98.01 is erroneous and not supported by any basis. Further held that the appellant is eligible for exemption under Notification No.6/2006-CE dated 01.03.2006.
A division bench of Justice J.B. Pardiwala and Justice R. Mahadevan dismissed the appeal in the absence of good reason to interfere with the impugned order dated 01-03-2024 passed by the Customs Excise and Service Tax Appellate Tribunal, South Zonal Bench, Chennai.
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