https://www.taxtmi.com/caselaws?id=3774 CENVAT credit on imported common inputs could not be denied or reversed where the manufacturer did not maintain separate accounts for inputs used in dutiable and exempted clearances but had discharged the prescribed amount under Rule 6(3) of the CENVAT Credit Rules. The applicable principle was that Rule 6(1) bars credit only for inputs used exclusively in exempted final products, while Rule 6(3) permits payment of the specified percentage on exempted clearances when separate accounts are not maintained. Because the inputs were used in identical gear-motor assemblies cleared both with duty and without duty, and exclusive use for exempted goods was not shown, the credit was retained and the connected demand for reversal, penalty, and interest could not survive. en-us Tue, 13 Nov 2007 00:00:00 +0530 Tue, 29 Apr 2008 00:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=3774 CENVAT credit on imported common inputs could not be denied or reversed where the manufacturer did not maintain separate accounts for inputs used in dutiable and exempted clearances but had discharged the prescribed amount under Rule 6(3) of the CENVAT Credit Rules. The applicable principle was that Rule 6(1) bars credit only for inputs used exclusively in exempted final products, while Rule 6(3) permits payment of the specified percentage on exempted clearances when separate accounts are not maintained. Because the inputs were used in identical gear-motor assemblies cleared both with duty and without duty, and exclusive use for exempted goods was not shown, the credit was retained and the connected demand for reversal, penalty, and interest could not survive. Case-Laws Central Excise Tue, 13 Nov 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=3774