https://www.taxtmi.com/caselaws?id=760300 CESTAT Allahabad allowed the appeal regarding incorrect availment of 100% CENVAT credit on capital goods in the first financial year. The tribunal held that credit should not be denied and penalties should not be imposed. Only interest liability may arise for the period excess credit was taken, subject to verification that the credit was actually utilized for duty payment. If credit was not utilized, no interest liability exists. The appellant must produce a statutory auditor certificate confirming whether excess credit was utilized before reversal or by the next financial year. The order confirming CENVAT credit recovery and penalties was set aside. en-us Wed, 09 Oct 2024 00:00:00 +0530 Sat, 19 Oct 2024 08:28:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=760300 CESTAT Allahabad allowed the appeal regarding incorrect availment of 100% CENVAT credit on capital goods in the first financial year. The tribunal held that credit should not be denied and penalties should not be imposed. Only interest liability may arise for the period excess credit was taken, subject to verification that the credit was actually utilized for duty payment. If credit was not utilized, no interest liability exists. The appellant must produce a statutory auditor certificate confirming whether excess credit was utilized before reversal or by the next financial year. The order confirming CENVAT credit recovery and penalties was set aside. Case-Laws Service Tax Wed, 09 Oct 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=760300