https://www.taxtmi.com/caselaws?id=346040 Credit on rejected finished goods received back into the factory was admissible under Rule 16(1) where records, invoices, rejection memos, transport documents and register entries supported receipt and reprocessing. However, because the subsequent process did not amount to manufacture, Rule 16(2) required reversal of any excess credit. The admitted excess credit of Rs. 36,803 had to be reversed. Penalty was unwarranted because the transactions were properly recorded and substantiated by evidence, so the penalty under Rule 15(2) read with Section 11AC was set aside. en-us Thu, 20 Jul 2017 00:00:00 +0530 Wed, 23 Aug 2017 14:33:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=346040 Credit on rejected finished goods received back into the factory was admissible under Rule 16(1) where records, invoices, rejection memos, transport documents and register entries supported receipt and reprocessing. However, because the subsequent process did not amount to manufacture, Rule 16(2) required reversal of any excess credit. The admitted excess credit of Rs. 36,803 had to be reversed. Penalty was unwarranted because the transactions were properly recorded and substantiated by evidence, so the penalty under Rule 15(2) read with Section 11AC was set aside. Case-Laws Central Excise Thu, 20 Jul 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=346040