https://www.taxtmi.com/caselaws?id=774487 Under the amended Cenvat scheme, proportionate reversal of credit with interest can displace a further Rule 6 demand based on exempted clearances where common inputs and input services are used for both dutiable and exempt outputs. The record showed that the assessee had reversed the quantified credit amounts, paid interest, and supported the reversals by certification, so the additional demand was not sustainable to that extent. Goods arising incidentally in manufacture as by-products or waste were not treated as exempted final products for Rule 6 purposes, particularly after credit regularisation under the amended framework. The demand and penalty were therefore set aside. en-us Wed, 09 Jul 2025 00:00:00 +0530 Thu, 10 Jul 2025 08:39:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=774487 Under the amended Cenvat scheme, proportionate reversal of credit with interest can displace a further Rule 6 demand based on exempted clearances where common inputs and input services are used for both dutiable and exempt outputs. The record showed that the assessee had reversed the quantified credit amounts, paid interest, and supported the reversals by certification, so the additional demand was not sustainable to that extent. Goods arising incidentally in manufacture as by-products or waste were not treated as exempted final products for Rule 6 purposes, particularly after credit regularisation under the amended framework. The demand and penalty were therefore set aside. Case-Laws Central Excise Wed, 09 Jul 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=774487