Notification No. 3/2012-CENTRAL EXCISE (N.T.) dated 12 March 2012 on CEVAT Credit Rules 2004

Substitution of Rule 12AA of CENVAT Credit Rules, 2004, with Rule 12AAA.

In exercise of powers under section 37 of  Central Excise Act 1944 , Central government make the following amendment in CENVAT Credit Rules 2004.

Power to impose restrictions in certain types of cases - Rule 12AAA

1. Notwithstanding anything contained in these rules, where the Central Government, having regard to the extent of misuse of CENVAT credit, nature and type of such misuse and such other factors as may be relevant,

2.  To prevent the misuse of the provisions of CENVAT credit as specified in these rules,

3. It is necessary in the public interest to provide for certain measures including restrictions on a manufacturer, first stage and second stage dealer or an exporter,

4. By a notification in the Official Gazette, specify the nature of restrictions including restrictions on utilization of CENVAT credit and suspension of registration in case of a dealer and type of facilities to be withdrawn and procedure for issue of such order by an officer authorized by the Board.