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Facts:
The assessee applied for refund of credit in respect of exports effected prior to the substitution of Rule 5 of the CENVAT Credit Rules, 2004 by Notification No. 4/2006 on 14-3-2006 on the ground that the credit could not be utilised. The Revenue raised the dispute that Rule 5 of the CENVAT Credit Rules, 2004 as it stood prior to 14-3-2006 permitted refund of unutilised CENVAT credit only to a manufacturer and not to a provider of output service. The Revenue further contended that substituted Rule 5 states that the rule applies only in respect of the exports made after 14-3-2006.
Held:
The Court observed that the substituted Rule 5 made no distinction between the exports made prior to 14-3-2006 and those made post the said date. Concurring with the decision of the CESTAT, the Court held that the assessee was entitled to the refund of credit, even for exports made before the substitution of Rule 5.
