https://www.taxtmi.com/caselaws?id=47738 Modvat credit under Rule 57A of the Central Excise Rules, 1944 could not be denied merely because the inputs were covered by an exemption notification, where duty had actually been paid by the supplier and accepted by the department. The distinction between "paid" and "payable" was treated as material, and the entitlement to credit was examined on the basis of actual duty payment. The Modvat scheme was applied as a relief mechanism to prevent double taxation on inputs that had already suffered excise duty. Credit was therefore allowed, and the reference was answered in favour of the assessee. en-us Thu, 20 Jan 2005 00:00:00 +0530 Fri, 30 Jul 2010 15:53:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=47738 Modvat credit under Rule 57A of the Central Excise Rules, 1944 could not be denied merely because the inputs were covered by an exemption notification, where duty had actually been paid by the supplier and accepted by the department. The distinction between "paid" and "payable" was treated as material, and the entitlement to credit was examined on the basis of actual duty payment. The Modvat scheme was applied as a relief mechanism to prevent double taxation on inputs that had already suffered excise duty. Credit was therefore allowed, and the reference was answered in favour of the assessee. Case-Laws Central Excise Thu, 20 Jan 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=47738