https://www.taxtmi.com/caselaws?id=208057 Rule 3(5) of the Cenvat Credit Rules, 2004 applies only when inputs or capital goods are removed as such from the factory. Used machinery that had remained in the factory for more than a year before its initial sale was not treated as removed as such merely because it was later returned after the aborted sale. Its eventual disposal was linked to its original entry into the factory, so the reversal of credit was not warranted. Duty paid on the final sale value was proper. en-us Tue, 22 Mar 2011 00:00:00 +0530 Wed, 29 May 2013 10:30:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=208057 Rule 3(5) of the Cenvat Credit Rules, 2004 applies only when inputs or capital goods are removed as such from the factory. Used machinery that had remained in the factory for more than a year before its initial sale was not treated as removed as such merely because it was later returned after the aborted sale. Its eventual disposal was linked to its original entry into the factory, so the reversal of credit was not warranted. Duty paid on the final sale value was proper. Case-Laws Central Excise Tue, 22 Mar 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=208057