https://www.taxtmi.com/article/detailed?id=5422 Rule 8(3A) bars use of cenvat credit where an assessee defaults in duty payment beyond the prescribed grace period, obliging consignment wise payment; the rule is criticised for not distinguishing bonafide from willful defaults and for conflicting with tribunal and court decisions that have permitted credit use during default or limited penalties. The Central Board has initiated a review and sought field input on the rule's effectiveness, enforcement practice, confiscation of goods cleared during default, and the possibility of replacing the present regime with an automatic penalty mechanism to reduce adjudication. en-us Tue, 07 Jan 2014 07:08:23 +0530 Tue, 07 Jan 2014 07:08:23 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=5422 Rule 8(3A) bars use of cenvat credit where an assessee defaults in duty payment beyond the prescribed grace period, obliging consignment wise payment; the rule is criticised for not distinguishing bonafide from willful defaults and for conflicting with tribunal and court decisions that have permitted credit use during default or limited penalties. The Central Board has initiated a review and sought field input on the rule's effectiveness, enforcement practice, confiscation of goods cleared during default, and the possibility of replacing the present regime with an automatic penalty mechanism to reduce adjudication. Articles Central Excise Tue, 07 Jan 2014 07:08:23 +0530 https://www.taxtmi.com/article/detailed?id=5422