https://www.taxtmi.com/caselaws?id=328859 Minor inventory shortages were held insufficient to justify reversal of CENVAT credit where the assessee maintained a detailed computerised accounting system and the discrepancies were negligible against the overall volume of inputs handled. In the absence of evidence of clandestine removal, diversion, or unauthorised use of inputs, a mere physical stock variation was treated as explainable by normal accounting and human error. Applying earlier reasoning on commercially tolerable shortages in a large manufacturing set-up, the demand for reversal of credit was found unsustainable and the issue was decided in favour of the assessee. en-us Wed, 13 Apr 2016 00:00:00 +0530 Thu, 10 Nov 2016 14:34:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=328859 Minor inventory shortages were held insufficient to justify reversal of CENVAT credit where the assessee maintained a detailed computerised accounting system and the discrepancies were negligible against the overall volume of inputs handled. In the absence of evidence of clandestine removal, diversion, or unauthorised use of inputs, a mere physical stock variation was treated as explainable by normal accounting and human error. Applying earlier reasoning on commercially tolerable shortages in a large manufacturing set-up, the demand for reversal of credit was found unsustainable and the issue was decided in favour of the assessee. Case-Laws Central Excise Wed, 13 Apr 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=328859