https://www.taxtmi.com/caselaws?id=48752 Modvat credit under Rule 57A was treated as available only where duty is payable on the final product. When the final product becomes fully exempt or chargeable to nil rate, Rule 57C creates an absolute bar on retaining credit attributable to inputs, including inputs lying in stock and inputs already used in manufacture of the exempt goods. The scheme read with Rule 57F was understood to require such credit to be reversed or recovered, and earlier availment did not make it irrevocable. The analysis follows the binding Allahabad High Court view and rejects the contrary argument based on a Supreme Court decision on a different issue. en-us Tue, 17 Nov 1998 00:00:00 +0530 Fri, 06 Aug 2010 13:10:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=48752 Modvat credit under Rule 57A was treated as available only where duty is payable on the final product. When the final product becomes fully exempt or chargeable to nil rate, Rule 57C creates an absolute bar on retaining credit attributable to inputs, including inputs lying in stock and inputs already used in manufacture of the exempt goods. The scheme read with Rule 57F was understood to require such credit to be reversed or recovered, and earlier availment did not make it irrevocable. The analysis follows the binding Allahabad High Court view and rejects the contrary argument based on a Supreme Court decision on a different issue. Case-Laws Central Excise Tue, 17 Nov 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=48752