https://www.taxtmi.com/caselaws?id=123884 CENVAT credit on molasses and furnace oil remained admissible where the inputs were used commonly in the manufacture of exempted rectified spirit and dutiable products such as denatured spirit and carbon dioxide. Because the credit attributable to the exempted use had been reversed, Rule 6 of the CENVAT Credit Rules did not justify denial of the balance credit. Furnace oil used to generate steam for both electricity generation and distillery processing was likewise treated as a common input, not as an input exclusively for exempt output. On that footing, consequential demand, penalty and interest were held unsustainable. en-us Mon, 26 Nov 2007 00:00:00 +0530 Wed, 20 Sep 2017 09:38:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=123884 CENVAT credit on molasses and furnace oil remained admissible where the inputs were used commonly in the manufacture of exempted rectified spirit and dutiable products such as denatured spirit and carbon dioxide. Because the credit attributable to the exempted use had been reversed, Rule 6 of the CENVAT Credit Rules did not justify denial of the balance credit. Furnace oil used to generate steam for both electricity generation and distillery processing was likewise treated as a common input, not as an input exclusively for exempt output. On that footing, consequential demand, penalty and interest were held unsustainable. Case-Laws Central Excise Mon, 26 Nov 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=123884