https://www.taxtmi.com/caselaws?id=212134 Modvat/Cenvat credit on duty-paid capital goods cannot be denied merely because the goods were first used for exempted manufacture, where they were also used in producing excisable goods. The absence of an undertaking for exclusive use in exempted production was material, and the right to credit remained intact once the same capital goods were later deployed for dutiable clearances. The Court also noted that no limitation period was prescribed for availing such credit in these circumstances. The assessee was therefore entitled to the credit and the departmental demand was unsustainable. en-us Mon, 11 Apr 2011 00:00:00 +0530 Sat, 01 Sep 2012 10:18:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=212134 Modvat/Cenvat credit on duty-paid capital goods cannot be denied merely because the goods were first used for exempted manufacture, where they were also used in producing excisable goods. The absence of an undertaking for exclusive use in exempted production was material, and the right to credit remained intact once the same capital goods were later deployed for dutiable clearances. The Court also noted that no limitation period was prescribed for availing such credit in these circumstances. The assessee was therefore entitled to the credit and the departmental demand was unsustainable. Case-Laws Central Excise Mon, 11 Apr 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=212134