https://www.taxtmi.com/caselaws?id=86267 An exemption notification that makes non-availment of Modvat credit an express condition cannot be combined with Modvat treatment for the same inputs and final products in the same factory and period. The manufacturer's attempt to split the same production line between exemption under Notification No. 69/86-C.E. and Modvat credit failed because the notification required duty-paid inputs and no prior credit under Rule 57G. The Board clarification cited by the assessee was confined to an end-use exemption and did not override the notification's own restriction. The principle in Chandrapur Magnet Wire applied only where already-taken credit was reversed before exemption was claimed. The appeals therefore failed. en-us Wed, 30 Oct 1996 00:00:00 +0530 Tue, 16 Aug 2011 18:23:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=86267 An exemption notification that makes non-availment of Modvat credit an express condition cannot be combined with Modvat treatment for the same inputs and final products in the same factory and period. The manufacturer's attempt to split the same production line between exemption under Notification No. 69/86-C.E. and Modvat credit failed because the notification required duty-paid inputs and no prior credit under Rule 57G. The Board clarification cited by the assessee was confined to an end-use exemption and did not override the notification's own restriction. The principle in Chandrapur Magnet Wire applied only where already-taken credit was reversed before exemption was claimed. The appeals therefore failed. Case-Laws Central Excise Wed, 30 Oct 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=86267