https://www.taxtmi.com/caselaws?id=90241 Modvat credit on inputs cannot be retained once the final product becomes exempt from duty, because Rule 57C bars credit where no duty is leviable on the final product. Credit already taken is not irrevocable and may be validly demanded back when the statutory conditions for availment cease to exist. A demand for reversal of credit on inputs in stock was upheld where the exemption order had attained finality. The limitation challenge also failed, as the show cause notices were computed from the effective date of exemption and were found to be within the statutory period. en-us Tue, 22 Dec 1998 00:00:00 +0530 Tue, 04 Oct 2011 15:54:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=90241 Modvat credit on inputs cannot be retained once the final product becomes exempt from duty, because Rule 57C bars credit where no duty is leviable on the final product. Credit already taken is not irrevocable and may be validly demanded back when the statutory conditions for availment cease to exist. A demand for reversal of credit on inputs in stock was upheld where the exemption order had attained finality. The limitation challenge also failed, as the show cause notices were computed from the effective date of exemption and were found to be within the statutory period. Case-Laws Central Excise Tue, 22 Dec 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=90241