https://www.taxtmi.com/caselaws?id=255247 Cenvat credit was examined on two connected questions: whether service tax credit carried forward from a period of SSI exemption could be used to discharge excise duty after the assessee began paying duty, and whether capital goods credit could be denied solely because the assessee had earlier provided output services and the final product had initially enjoyed value-based SSI exemption. The text states that the carried-forward service tax credit lacked nexus with the later excisable manufacture, so it was not available for excise duty on those facts. It also states that capital goods credit was not barred merely by the earlier value-based exemption, because such exemption was conditional on clearances and credit could arise once duty liability commenced. The matter was remanded for fresh decision, including limitation and penalty. en-us Wed, 17 Sep 2014 00:00:00 +0530 Mon, 12 Jan 2015 13:35:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=255247 Cenvat credit was examined on two connected questions: whether service tax credit carried forward from a period of SSI exemption could be used to discharge excise duty after the assessee began paying duty, and whether capital goods credit could be denied solely because the assessee had earlier provided output services and the final product had initially enjoyed value-based SSI exemption. The text states that the carried-forward service tax credit lacked nexus with the later excisable manufacture, so it was not available for excise duty on those facts. It also states that capital goods credit was not barred merely by the earlier value-based exemption, because such exemption was conditional on clearances and credit could arise once duty liability commenced. The matter was remanded for fresh decision, including limitation and penalty. Case-Laws Central Excise Wed, 17 Sep 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=255247