https://www.taxtmi.com/caselaws?id=332163 SSI exemption under Notification No. 4/97 was unavailable because the assessee failed to prove that Modvat credit had not been taken on the inputs used for the disputed goods or that any such credit had been reversed. On that basis, the duty demand and interest were sustained. The penalty under Rule 173Q of the Central Excise Rules, 1944 was set aside because the authorities did not identify the specific sub-rule invoked and the assessee's claim was supported by a bona fide belief regarding exemption eligibility. The result was partial relief: tax liability remained, but the penal consequence did not. en-us Wed, 10 Aug 2016 00:00:00 +0530 Fri, 18 Aug 2017 12:56:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=332163 SSI exemption under Notification No. 4/97 was unavailable because the assessee failed to prove that Modvat credit had not been taken on the inputs used for the disputed goods or that any such credit had been reversed. On that basis, the duty demand and interest were sustained. The penalty under Rule 173Q of the Central Excise Rules, 1944 was set aside because the authorities did not identify the specific sub-rule invoked and the assessee's claim was supported by a bona fide belief regarding exemption eligibility. The result was partial relief: tax liability remained, but the penal consequence did not. Case-Laws Central Excise Wed, 10 Aug 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=332163