https://www.taxtmi.com/caselaws?id=76306 Rule 57CC required a manufacturer clearing both dutiable and exempted goods to maintain separate accounts for inputs used in exempted products or comply with the prescribed payment mechanism. A reversal of credit made only after exempted clearances had already taken place did not satisfy the rule and did not relieve the manufacturer of the statutory amount payable. Where the dispute turned on interpretation of the rule and related provisions, penalty was treated as unwarranted and set aside. The substantive demand was maintained, but the penalty component was deleted, giving only partial relief. en-us Thu, 27 Aug 2009 00:00:00 +0530 Fri, 20 Nov 2015 11:55:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=76306 Rule 57CC required a manufacturer clearing both dutiable and exempted goods to maintain separate accounts for inputs used in exempted products or comply with the prescribed payment mechanism. A reversal of credit made only after exempted clearances had already taken place did not satisfy the rule and did not relieve the manufacturer of the statutory amount payable. Where the dispute turned on interpretation of the rule and related provisions, penalty was treated as unwarranted and set aside. The substantive demand was maintained, but the penalty component was deleted, giving only partial relief. Case-Laws Central Excise Thu, 27 Aug 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=76306