https://www.taxtmi.com/caselaws?id=116185 When a manufacturer availing Modvat credit opts for a quantity-based exemption from the whole of duty, Rule 57H(7) requires reversal or lapse of credit relatable to inputs in stock or embedded in finished and semi-finished goods on the date of the option, even if the notification does not expressly repeat that restriction. The credit disallowance was therefore upheld. Penalty was nevertheless set aside because the dispute arose from interpretation of the exemption notification and Rule 57H(7), without fraudulent intent or deliberate wrongdoing. The result was relief only against the penal consequence. en-us Fri, 18 Mar 2005 00:00:00 +0530 Fri, 08 Jun 2012 16:58:54 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=116185 When a manufacturer availing Modvat credit opts for a quantity-based exemption from the whole of duty, Rule 57H(7) requires reversal or lapse of credit relatable to inputs in stock or embedded in finished and semi-finished goods on the date of the option, even if the notification does not expressly repeat that restriction. The credit disallowance was therefore upheld. Penalty was nevertheless set aside because the dispute arose from interpretation of the exemption notification and Rule 57H(7), without fraudulent intent or deliberate wrongdoing. The result was relief only against the penal consequence. Case-Laws Central Excise Fri, 18 Mar 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=116185