https://www.taxtmi.com/caselaws?id=270938 Non-reversal of Cenvat credit on inputs written off as obsolete did not attract mandatory penalty under Section 11AC where the inputs were later found in the factory and used in manufacture, making the omission revenue neutral and merely procedural. The failure to reverse credit at the time of write-off still amounted to a contravention of the credit rules, so a limited penalty under Rule 27 of the Cenvat Credit Rules, 2002 was upheld. The mandatory penal consequence was rejected, but a nominal penalty for the procedural lapse was sustained. en-us Fri, 26 Jun 2015 00:00:00 +0530 Tue, 19 Jan 2016 11:58:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=270938 Non-reversal of Cenvat credit on inputs written off as obsolete did not attract mandatory penalty under Section 11AC where the inputs were later found in the factory and used in manufacture, making the omission revenue neutral and merely procedural. The failure to reverse credit at the time of write-off still amounted to a contravention of the credit rules, so a limited penalty under Rule 27 of the Cenvat Credit Rules, 2002 was upheld. The mandatory penal consequence was rejected, but a nominal penalty for the procedural lapse was sustained. Case-Laws Central Excise Fri, 26 Jun 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=270938