https://www.taxtmi.com/caselaws?id=273031 CENVAT credit on inputs cannot be denied merely because the quantity physically received is short of the invoice quantity. Under Rule 3 of the CENVAT Credit Rules, 2004, the allowance or denial of credit depends on surrounding factors such as possible diversion in transit, susceptibility to transit loss, differences in weighment scales, permissible tolerance limits, and whether compensation was claimed from the supplier, transporter, or insurer. If those factors are not examined before issuing the notice or passing the order, a mechanical denial is unsustainable. On the recorded facts, the denial of credit was not justified. en-us Fri, 04 Aug 2017 00:00:00 +0530 Fri, 01 Jun 2018 00:35:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=273031 CENVAT credit on inputs cannot be denied merely because the quantity physically received is short of the invoice quantity. Under Rule 3 of the CENVAT Credit Rules, 2004, the allowance or denial of credit depends on surrounding factors such as possible diversion in transit, susceptibility to transit loss, differences in weighment scales, permissible tolerance limits, and whether compensation was claimed from the supplier, transporter, or insurer. If those factors are not examined before issuing the notice or passing the order, a mechanical denial is unsustainable. On the recorded facts, the denial of credit was not justified. Case-Laws Central Excise Fri, 04 Aug 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=273031