https://www.taxtmi.com/caselaws?id=375664 Where common inputs and input services are used for both dutiable and exempted goods, Rule 6(3) of the Central Excise Rules, 2004 requires the assessee either to reverse the proportionate Cenvat credit attributable to exempted clearances or to pay the prescribed amount on such goods. Continued availment of credit without adopting either course justified the demand, and the extended period of limitation was upheld because the non-compliance persisted despite departmental knowledge from an earlier audit and an undertaking to pay that was not honoured. Penalty was not sustained on the facts, and was set aside. en-us Thu, 14 Feb 2019 00:00:00 +0530 Sat, 23 Feb 2019 08:54:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=375664 Where common inputs and input services are used for both dutiable and exempted goods, Rule 6(3) of the Central Excise Rules, 2004 requires the assessee either to reverse the proportionate Cenvat credit attributable to exempted clearances or to pay the prescribed amount on such goods. Continued availment of credit without adopting either course justified the demand, and the extended period of limitation was upheld because the non-compliance persisted despite departmental knowledge from an earlier audit and an undertaking to pay that was not honoured. Penalty was not sustained on the facts, and was set aside. Case-Laws Central Excise Thu, 14 Feb 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=375664