https://www.taxtmi.com/caselaws?id=326512 Penalty under Rule 26 and Rule 27 was unsustainable where duty on inter-unit clearances was paid on self-assessment at a higher market value pending receipt of the CAS-4 certificate, because the variation in valuation did not by itself show evasion, contravention, or mala fide intent. The transaction was also revenue neutral, as the sister unit could have taken credit of the duty actually paid. Cenvat credit in the receiving unit could not be denied merely because the supplier had adopted a higher assessable value, since the goods were received under valid duty-paying invoices, used in manufacture, and there was no reassessment of the supplier's clearances. The credit demand, interest, and consequential penalties were set aside. en-us Tue, 23 Feb 2016 00:00:00 +0530 Mon, 13 Feb 2017 17:58:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=326512 Penalty under Rule 26 and Rule 27 was unsustainable where duty on inter-unit clearances was paid on self-assessment at a higher market value pending receipt of the CAS-4 certificate, because the variation in valuation did not by itself show evasion, contravention, or mala fide intent. The transaction was also revenue neutral, as the sister unit could have taken credit of the duty actually paid. Cenvat credit in the receiving unit could not be denied merely because the supplier had adopted a higher assessable value, since the goods were received under valid duty-paying invoices, used in manufacture, and there was no reassessment of the supplier's clearances. The credit demand, interest, and consequential penalties were set aside. Case-Laws Central Excise Tue, 23 Feb 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=326512