https://www.taxtmi.com/caselaws?id=235478 Sludge generated naturally during storage of furnace oil was treated as a non-excisable residue, not as clearance of furnace oil itself. Because the furnace oil had already been consumed in manufacture and the sludge was regarded as refuse, there was no basis to require reversal of proportionate Cenvat credit attributable to the sludge. The Board Circular referred to in the text also supported the view that sludge was not excisable during the relevant period. The Revenue's objection therefore failed, and reversal of Cenvat credit was held unwarranted. en-us Tue, 25 Jun 2013 00:00:00 +0530 Thu, 02 Jan 2014 12:52:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=235478 Sludge generated naturally during storage of furnace oil was treated as a non-excisable residue, not as clearance of furnace oil itself. Because the furnace oil had already been consumed in manufacture and the sludge was regarded as refuse, there was no basis to require reversal of proportionate Cenvat credit attributable to the sludge. The Board Circular referred to in the text also supported the view that sludge was not excisable during the relevant period. The Revenue's objection therefore failed, and reversal of Cenvat credit was held unwarranted. Case-Laws Central Excise Tue, 25 Jun 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=235478