https://www.taxtmi.com/caselaws?id=99560 Deemed Modvat credit cannot be denied merely because an exemption notification exists for the input goods; the Revenue must establish that the exemption was actually availed and that the conditions of the notification were satisfied. A conditional exemption does not by itself prove that duty was not paid on the goods, and an allegation that the purchaser knew of the exemption is insufficient without proof that the manufacturer cleared the goods under that exemption. In the absence of any finding that the supplier was the manufacturer or that clearance was made under the notification, denial of credit was not sustainable and the assessee succeeded. en-us Sat, 23 Jun 2001 00:00:00 +0530 Fri, 27 Jan 2012 17:55:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=99560 Deemed Modvat credit cannot be denied merely because an exemption notification exists for the input goods; the Revenue must establish that the exemption was actually availed and that the conditions of the notification were satisfied. A conditional exemption does not by itself prove that duty was not paid on the goods, and an allegation that the purchaser knew of the exemption is insufficient without proof that the manufacturer cleared the goods under that exemption. In the absence of any finding that the supplier was the manufacturer or that clearance was made under the notification, denial of credit was not sustainable and the assessee succeeded. Case-Laws Central Excise Sat, 23 Jun 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=99560