https://www.taxtmi.com/caselaws?id=84559 Modvat credit validly taken on receipt of inputs could not be denied under Rule 57C merely because the finished goods were cleared under an exemption notification. Where credit had been taken, the exemption notification contemplated payment of duty on the finished goods rather than treating them as wholly exempt. For inputs remaining in stock after opting out of the Modvat scheme, recovery was to proceed under Rule 57F(1)(ii) when inputs were taken for use, or under Section 11A for duty recovery. Rule 57I was not the appropriate mechanism for reversing such credit. The reference application was rejected and the proposed questions were answered against the Revenue. en-us Tue, 03 Oct 1995 00:00:00 +0530 Fri, 22 Jul 2011 16:58:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=84559 Modvat credit validly taken on receipt of inputs could not be denied under Rule 57C merely because the finished goods were cleared under an exemption notification. Where credit had been taken, the exemption notification contemplated payment of duty on the finished goods rather than treating them as wholly exempt. For inputs remaining in stock after opting out of the Modvat scheme, recovery was to proceed under Rule 57F(1)(ii) when inputs were taken for use, or under Section 11A for duty recovery. Rule 57I was not the appropriate mechanism for reversing such credit. The reference application was rejected and the proposed questions were answered against the Revenue. Case-Laws Central Excise Tue, 03 Oct 1995 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=84559