https://www.taxtmi.com/caselaws?id=218059 Cenvat credit was held admissible on inputs recorded under an R&D head where the assessee showed that the activity was only pilot production or trial manufacture leading to dutiable final products cleared on payment of duty. The record did not show clandestine removal or destruction of inputs, and the Revenue failed to rebut the explanation or establish that the inputs were not used in or in relation to manufacture. The insistence on item-wise correlation between each input and each finished product was treated as unrealistic for a factory using numerous small components. Credit was therefore allowed and the demand and penalties were found unsustainable. en-us Thu, 12 Jan 2012 00:00:00 +0530 Fri, 02 Nov 2012 11:29:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=218059 Cenvat credit was held admissible on inputs recorded under an R&D head where the assessee showed that the activity was only pilot production or trial manufacture leading to dutiable final products cleared on payment of duty. The record did not show clandestine removal or destruction of inputs, and the Revenue failed to rebut the explanation or establish that the inputs were not used in or in relation to manufacture. The insistence on item-wise correlation between each input and each finished product was treated as unrealistic for a factory using numerous small components. Credit was therefore allowed and the demand and penalties were found unsustainable. Case-Laws Central Excise Thu, 12 Jan 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=218059