https://www.taxtmi.com/caselaws?id=210443 Modvat credit was denied on raw material tested and cleared as scrap because the material was not shown to have been used in or in relation to manufacture, and the earlier destructive-testing precedent was found distinguishable on its facts. The demand and interest were therefore upheld. Penalty was not sustained because the assessee had filed the relevant declaration and informed the department about scrap clearance before the dispute matured, so suppression with intent to evade duty was not established. The penalty was accordingly set aside. en-us Thu, 27 Oct 2011 00:00:00 +0530 Wed, 29 Aug 2012 16:54:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=210443 Modvat credit was denied on raw material tested and cleared as scrap because the material was not shown to have been used in or in relation to manufacture, and the earlier destructive-testing precedent was found distinguishable on its facts. The demand and interest were therefore upheld. Penalty was not sustained because the assessee had filed the relevant declaration and informed the department about scrap clearance before the dispute matured, so suppression with intent to evade duty was not established. The penalty was accordingly set aside. Case-Laws Central Excise Thu, 27 Oct 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=210443