https://www.taxtmi.com/caselaws?id=441869 Full reversal of wrongly taken Cenvat credit after detection was treated as non-availment for purposes of the conditional exemption under Notification No. 1/2006-ST, so the service tax demand was set aside. The credit had been disclosed in ST-3 returns and the breach appeared inadvertent rather than deliberate, supporting the exemption claim. However, reversal only after wrongful availment did not erase liability for the period during which the credit remained utilised, so interest remained payable up to the date of reversal. Penalty was also sustained because the exemption condition had been breached, resulting in only partial relief. en-us Fri, 11 Aug 2023 00:00:00 +0530 Sat, 19 Aug 2023 10:13:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=441869 Full reversal of wrongly taken Cenvat credit after detection was treated as non-availment for purposes of the conditional exemption under Notification No. 1/2006-ST, so the service tax demand was set aside. The credit had been disclosed in ST-3 returns and the breach appeared inadvertent rather than deliberate, supporting the exemption claim. However, reversal only after wrongful availment did not erase liability for the period during which the credit remained utilised, so interest remained payable up to the date of reversal. Penalty was also sustained because the exemption condition had been breached, resulting in only partial relief. Case-Laws Service Tax Fri, 11 Aug 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=441869