https://www.taxtmi.com/caselaws?id=446998 CESTAT Mumbai allowed the appeal regarding recovery of CENVAT credit with interest and penalty. The Department sought recovery claiming erroneous availment due to non-compliance with Rule 10(3) of CCR, which requires verification of stock before credit transfer. The Tribunal held that Rule 10(3) applies only to inputs or capital goods, not input services. Rule 10(2) permits transfer of entire unutilized CENVAT credit to new business units. The Commissioner (Appeals) erred in restricting transfer to inputs/capital goods only. Supreme Court precedent confirms Rule 10 allows transfer of all available credits with inputs and capital goods. The Commissioner's order was set aside. en-us Thu, 14 Dec 2023 00:00:00 +0530 Sat, 16 Dec 2023 09:56:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=446998 CESTAT Mumbai allowed the appeal regarding recovery of CENVAT credit with interest and penalty. The Department sought recovery claiming erroneous availment due to non-compliance with Rule 10(3) of CCR, which requires verification of stock before credit transfer. The Tribunal held that Rule 10(3) applies only to inputs or capital goods, not input services. Rule 10(2) permits transfer of entire unutilized CENVAT credit to new business units. The Commissioner (Appeals) erred in restricting transfer to inputs/capital goods only. Supreme Court precedent confirms Rule 10 allows transfer of all available credits with inputs and capital goods. The Commissioner's order was set aside. Case-Laws Service Tax Thu, 14 Dec 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=446998