https://www.taxtmi.com/caselaws?id=340097 Notification No. 217/86-C.E. allowed exemption for specified inputs used within the factory in manufacturing final products, but the proviso withdrew the benefit where the input was used in relation to exempt or nil-rated final products. Caustic soda was used captively to produce anhydrous sodium sulphate, and that intermediate product was itself cleared under exemption. Because the proviso was attracted on these admitted facts, the later use of the intermediate product in manufacturing rayon yarn did not restore eligibility. The exemption was therefore unavailable for the caustic soda, and the demand was sustainable. en-us Thu, 23 Feb 2017 00:00:00 +0530 Tue, 14 Nov 2017 18:11:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=340097 Notification No. 217/86-C.E. allowed exemption for specified inputs used within the factory in manufacturing final products, but the proviso withdrew the benefit where the input was used in relation to exempt or nil-rated final products. Caustic soda was used captively to produce anhydrous sodium sulphate, and that intermediate product was itself cleared under exemption. Because the proviso was attracted on these admitted facts, the later use of the intermediate product in manufacturing rayon yarn did not restore eligibility. The exemption was therefore unavailable for the caustic soda, and the demand was sustainable. Case-Laws Central Excise Thu, 23 Feb 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=340097