https://www.taxtmi.com/caselaws?id=122100 Validly taken Modvat credit on inputs was treated as immediately available and not dependent on one-to-one correlation with the final product. For the period before Rules 57AD and 57AH of the Central Excise Rules, 1944 came into force, credit on inputs later used in exempted final products could not be recovered merely on that basis. The Tribunal distinguished later decisions applied after those rules and found that, for the relevant period, the proposed reversal, demand and penalty were unsustainable. The demand and penalty were therefore set aside in favour of the assessee. en-us Fri, 15 Sep 2006 00:00:00 +0530 Wed, 08 Aug 2012 15:51:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=122100 Validly taken Modvat credit on inputs was treated as immediately available and not dependent on one-to-one correlation with the final product. For the period before Rules 57AD and 57AH of the Central Excise Rules, 1944 came into force, credit on inputs later used in exempted final products could not be recovered merely on that basis. The Tribunal distinguished later decisions applied after those rules and found that, for the relevant period, the proposed reversal, demand and penalty were unsustainable. The demand and penalty were therefore set aside in favour of the assessee. Case-Laws Central Excise Fri, 15 Sep 2006 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=122100