https://www.taxtmi.com/caselaws?id=2141 Cenvat credit on capital goods was not required to be reversed merely because the goods were leased out and remained in the lessee's premises; the prior credit was not treated as inadmissible on that ground. An irregular book entry of credit also did not attract interest or penalty where the assessee reversed the entry without utilising the amount, since no actual use of the credit occurred. The ruling confirms that leasing arrangements alone do not justify credit demand, and that reversal before utilisation can exclude interest and penal consequences. en-us Wed, 25 Apr 2007 00:00:00 +0530 Tue, 15 Apr 2008 16:14:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=2141 Cenvat credit on capital goods was not required to be reversed merely because the goods were leased out and remained in the lessee's premises; the prior credit was not treated as inadmissible on that ground. An irregular book entry of credit also did not attract interest or penalty where the assessee reversed the entry without utilising the amount, since no actual use of the credit occurred. The ruling confirms that leasing arrangements alone do not justify credit demand, and that reversal before utilisation can exclude interest and penal consequences. Case-Laws Central Excise Wed, 25 Apr 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=2141