https://www.taxtmi.com/caselaws?id=100069 Where an assessee shifts from Modvat to compounded levy under Section 3A, the lapse of credit on the appointed date by operation of the applicable rule does not, by itself, authorise recovery or reversal of that credit. The analysis distinguished cases involving exemption from duty because here the final products continued to be cleared on payment of duty, and the assessee had not opted out of duty payment altogether. In the absence of a specific provision permitting demand on inputs lying in stock, inputs used in finished goods, or the lapsed credit balance, no duty demand was sustainable. en-us Tue, 08 May 2001 00:00:00 +0530 Tue, 31 Jan 2012 11:25:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=100069 Where an assessee shifts from Modvat to compounded levy under Section 3A, the lapse of credit on the appointed date by operation of the applicable rule does not, by itself, authorise recovery or reversal of that credit. The analysis distinguished cases involving exemption from duty because here the final products continued to be cleared on payment of duty, and the assessee had not opted out of duty payment altogether. In the absence of a specific provision permitting demand on inputs lying in stock, inputs used in finished goods, or the lapsed credit balance, no duty demand was sustainable. Case-Laws Central Excise Tue, 08 May 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=100069