https://www.taxtmi.com/caselaws?id=333048 Modvat credit on capital goods received in the factory before 01-01-1996 was admissible under Rule 57Q even though manufacture of the new final product had not yet commenced. The Board's clarificatory circular of 02-12-1996 was applied to hold that credit could be taken immediately on receipt and utilisation of the capital goods, and not only after actual production began. The restrictive view that credit depended on commencement of float glass production was rejected, making the credit denial, duty demand and penalty unsustainable. en-us Mon, 29 Aug 2016 00:00:00 +0530 Mon, 07 Nov 2016 16:39:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=333048 Modvat credit on capital goods received in the factory before 01-01-1996 was admissible under Rule 57Q even though manufacture of the new final product had not yet commenced. The Board's clarificatory circular of 02-12-1996 was applied to hold that credit could be taken immediately on receipt and utilisation of the capital goods, and not only after actual production began. The restrictive view that credit depended on commencement of float glass production was rejected, making the credit denial, duty demand and penalty unsustainable. Case-Laws Central Excise Mon, 29 Aug 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=333048