https://www.taxtmi.com/caselaws?id=89642 Notification No. 175/86-C.E. extends small scale exemption to a registered small scale ancillary unit, because ancillary undertakings are treated as falling within the expression small scale industry. The Tribunal also treated the exemption as optional where the assessee chooses the duty-paid route, so duty paid on the final exempt goods could support Modvat credit and the assessee was not compelled to forgo credit merely because the final product was otherwise exempt. On that reasoning, the intermediate product was not subjected to duty. en-us Thu, 19 Nov 1998 00:00:00 +0530 Wed, 28 Sep 2011 16:20:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=89642 Notification No. 175/86-C.E. extends small scale exemption to a registered small scale ancillary unit, because ancillary undertakings are treated as falling within the expression small scale industry. The Tribunal also treated the exemption as optional where the assessee chooses the duty-paid route, so duty paid on the final exempt goods could support Modvat credit and the assessee was not compelled to forgo credit merely because the final product was otherwise exempt. On that reasoning, the intermediate product was not subjected to duty. Case-Laws Central Excise Thu, 19 Nov 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=89642