https://www.taxtmi.com/caselaws?id=30318 Rule 4(2)(b) of the Cenvat Credit Rules, 2002 permits balance credit on capital goods to be taken in a later financial year, provided the capital goods remain in the manufacturer's possession and use in that year. The rule does not require possession at the precise moment the credit entry is taken. Where the assessee received the capital goods, claimed the admissible initial credit, retained and used the goods in the subsequent year, and paid duty on their removal, denial of the remaining credit was not justified. The balance Cenvat credit was therefore allowable and the credit denial was unsustainable. en-us Mon, 14 Jan 2008 00:00:00 +0530 Fri, 22 Aug 2008 00:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=30318 Rule 4(2)(b) of the Cenvat Credit Rules, 2002 permits balance credit on capital goods to be taken in a later financial year, provided the capital goods remain in the manufacturer's possession and use in that year. The rule does not require possession at the precise moment the credit entry is taken. Where the assessee received the capital goods, claimed the admissible initial credit, retained and used the goods in the subsequent year, and paid duty on their removal, denial of the remaining credit was not justified. The balance Cenvat credit was therefore allowable and the credit denial was unsustainable. Case-Laws Central Excise Mon, 14 Jan 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=30318