https://www.taxtmi.com/caselaws?id=1964 Cenvat credit on capital goods was held inadmissible where the goods were received, installed and used exclusively during a period when the final product was exempt or nil-rated. Rule 6(4) of the Cenvat Credit Rules, 2002 bars credit on capital goods used only in exempted manufacture, except for the limited case of exemption tied to annual value or quantity-based clearances; that exception did not apply here. Rule 4 permitting credit did not override this specific restriction. The precedents relied on by the assessee were distinguished because they involved mixed use or no exclusive use in exempt production. The disallowance was therefore upheld. en-us Fri, 27 Apr 2007 00:00:00 +0530 Tue, 15 Apr 2008 12:06:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=1964 Cenvat credit on capital goods was held inadmissible where the goods were received, installed and used exclusively during a period when the final product was exempt or nil-rated. Rule 6(4) of the Cenvat Credit Rules, 2002 bars credit on capital goods used only in exempted manufacture, except for the limited case of exemption tied to annual value or quantity-based clearances; that exception did not apply here. Rule 4 permitting credit did not override this specific restriction. The precedents relied on by the assessee were distinguished because they involved mixed use or no exclusive use in exempt production. The disallowance was therefore upheld. Case-Laws Central Excise Fri, 27 Apr 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=1964