https://www.taxtmi.com/caselaws?id=219026 Interest is chargeable on CENVAT credit wrongly taken even if the credit is reversed before utilisation, because reversal does not erase the initial wrongful availment. By contrast, no interest was held chargeable on the differential amount arising from removal of inputs as such under Rule 3(4) of the Cenvat Credit Rules, 2002, where the credit situation was materially different and no supporting provision for interest was shown. For contraventions not involving fraud, misstatement or collusion, a reduced penalty was considered appropriate, with the higher penalties set aside and penalty confined to a nominal amount in each matter. en-us Fri, 10 Feb 2012 00:00:00 +0530 Thu, 04 Oct 2012 12:44:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=219026 Interest is chargeable on CENVAT credit wrongly taken even if the credit is reversed before utilisation, because reversal does not erase the initial wrongful availment. By contrast, no interest was held chargeable on the differential amount arising from removal of inputs as such under Rule 3(4) of the Cenvat Credit Rules, 2002, where the credit situation was materially different and no supporting provision for interest was shown. For contraventions not involving fraud, misstatement or collusion, a reduced penalty was considered appropriate, with the higher penalties set aside and penalty confined to a nominal amount in each matter. Case-Laws Central Excise Fri, 10 Feb 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=219026