https://www.taxtmi.com/caselaws?id=173680 Duty on clearance of scrap generated from old capital goods could not be sustained under Rule 57S(2)(c) where there was no finding that Modvat credit had been taken on the original capital goods. The demand rested on an assumption that the scrap arose from capital goods on which credit had been availed, but neither the adjudicating authority nor the appellate authority verified the origin of the scrap or recorded the necessary factual finding. In the absence of that foundational basis, the rule could not be applied. A remand was considered, but the long lapse of time made fresh evidence unlikely; the demand and consequential order were therefore set aside. en-us Tue, 17 Jul 2012 00:00:00 +0530 Sat, 19 Sep 2015 18:08:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=173680 Duty on clearance of scrap generated from old capital goods could not be sustained under Rule 57S(2)(c) where there was no finding that Modvat credit had been taken on the original capital goods. The demand rested on an assumption that the scrap arose from capital goods on which credit had been availed, but neither the adjudicating authority nor the appellate authority verified the origin of the scrap or recorded the necessary factual finding. In the absence of that foundational basis, the rule could not be applied. A remand was considered, but the long lapse of time made fresh evidence unlikely; the demand and consequential order were therefore set aside. Case-Laws Central Excise Tue, 17 Jul 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=173680