https://www.taxtmi.com/caselaws?id=202406 Excess MODVAT credit reversed before utilisation did not attract interest because inadmissible credit, once taken but not used, does not create an interest liability on that footing. On the same facts, the penalty could not survive after the excess credit had been reversed, as the penal action was based on the very credit found not to have resulted in utilisation. The ruling therefore treats reversal before use as sufficient to negate both interest and penalty consequences for the excess credit. en-us Mon, 21 Feb 2011 00:00:00 +0530 Tue, 15 Mar 2011 17:58:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=202406 Excess MODVAT credit reversed before utilisation did not attract interest because inadmissible credit, once taken but not used, does not create an interest liability on that footing. On the same facts, the penalty could not survive after the excess credit had been reversed, as the penal action was based on the very credit found not to have resulted in utilisation. The ruling therefore treats reversal before use as sufficient to negate both interest and penalty consequences for the excess credit. Case-Laws Central Excise Mon, 21 Feb 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=202406