Denial of CENVAT Credit for Invoices issued before Notification No. 21/2014-CE (NT) Violates S.38A of CEA: CESTAT allows Marico Ltd to Avail Credits

The CESTAT ruled in favor of Marico Ltd, allowing them to avail CENVAT credit for invoices issued before the implementation of Notification No. 21/2014-CE(NT). The tribunal found that denying credit for these invoices violated Section 38A of the Central Excise Act (CEA), which protects the rights and privileges accrued under previous laws. Marico Ltd had been denied credit on the grounds that the invoices were issued before the notification date, but the CESTAT held that such denial was unjustified. The tribunal emphasized that the notification could not retrospectively affect the rights already accrued to the appellant. This ruling highlights the importance of protecting accrued rights and ensuring that new regulations do not retroactively impact businesses adversely.