https://www.taxtmi.com/caselaws?id=171699 Cenvat credit validly taken on duty-paid inputs used in manufacturing final products is not required to be reversed merely because those final products later become exempt from duty. The scheme was read as allowing immediate credit on lawful availment, with indefeasible entitlement unless the credit was illegally or irregularly taken. Where the manufacturer maintained the necessary records and the inputs were properly used in manufacture, subsequent exemption of the finished goods did not undo the credit already earned. The departmental circular was also consistent with admissibility of credit on common inputs, subject to the prescribed debit before clearance of exempt goods. en-us Mon, 05 Apr 2010 00:00:00 +0530 Tue, 16 May 2017 09:36:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=171699 Cenvat credit validly taken on duty-paid inputs used in manufacturing final products is not required to be reversed merely because those final products later become exempt from duty. The scheme was read as allowing immediate credit on lawful availment, with indefeasible entitlement unless the credit was illegally or irregularly taken. Where the manufacturer maintained the necessary records and the inputs were properly used in manufacture, subsequent exemption of the finished goods did not undo the credit already earned. The departmental circular was also consistent with admissibility of credit on common inputs, subject to the prescribed debit before clearance of exempt goods. Case-Laws Central Excise Mon, 05 Apr 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=171699