https://www.taxtmi.com/caselaws?id=92380 A manufacturer who merely opts for the Modvat scheme, without actually availing any credit, is not denied small scale exemption under Notification No. 175/86-C.E. The operative distinction is between an election to use Modvat and actual utilisation of credit; only the latter has duty consequences affecting exemption eligibility. Where no credit was taken and the assessee was otherwise eligible, denial of the exemption is not justified. The exemption therefore remains available despite the mere option to adopt Modvat. en-us Fri, 30 Jul 1999 00:00:00 +0530 Tue, 01 Nov 2011 12:25:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=92380 A manufacturer who merely opts for the Modvat scheme, without actually availing any credit, is not denied small scale exemption under Notification No. 175/86-C.E. The operative distinction is between an election to use Modvat and actual utilisation of credit; only the latter has duty consequences affecting exemption eligibility. Where no credit was taken and the assessee was otherwise eligible, denial of the exemption is not justified. The exemption therefore remains available despite the mere option to adopt Modvat. Case-Laws Central Excise Fri, 30 Jul 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=92380