https://www.taxtmi.com/caselaws?id=110291 Voluntary reversal of Modvat credit before departmental detection meant the assessee could not be treated as having retained credit on inputs used in exempted final products. The exemption condition that no credit should have been taken was therefore not violated in substance, so duty exemption could not be denied. Because the credit had been reversed on the assessee's own before the visit, the foundation for penalty also fell away. Exemption was upheld and penalty was not sustainable. en-us Mon, 19 May 1997 00:00:00 +0530 Mon, 16 Apr 2012 11:31:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=110291 Voluntary reversal of Modvat credit before departmental detection meant the assessee could not be treated as having retained credit on inputs used in exempted final products. The exemption condition that no credit should have been taken was therefore not violated in substance, so duty exemption could not be denied. Because the credit had been reversed on the assessee's own before the visit, the foundation for penalty also fell away. Exemption was upheld and penalty was not sustainable. Case-Laws Central Excise Mon, 19 May 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=110291