https://www.taxtmi.com/caselaws?id=49005 Modvat credit on CVD against Bills of Entry was held unavailable where duty was discharged only by debit in the DEPB pass book, because the Tribunal treated such book adjustment as not amounting to actual cash payment of duty for credit purposes. The Bills of Entry also showed that CVD was not paid in cash, supporting disallowance of the credit. On penalty, the Tribunal considered the overall facts and reduced the penal amount, granting partial relief while sustaining the main credit reversal demand. The stated principle is that Modvat credit requires actual duty payment, and a mere DEPB-linked debit does not satisfy that condition. en-us Mon, 16 Aug 2004 00:00:00 +0530 Mon, 10 Jun 2024 16:08:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=49005 Modvat credit on CVD against Bills of Entry was held unavailable where duty was discharged only by debit in the DEPB pass book, because the Tribunal treated such book adjustment as not amounting to actual cash payment of duty for credit purposes. The Bills of Entry also showed that CVD was not paid in cash, supporting disallowance of the credit. On penalty, the Tribunal considered the overall facts and reduced the penal amount, granting partial relief while sustaining the main credit reversal demand. The stated principle is that Modvat credit requires actual duty payment, and a mere DEPB-linked debit does not satisfy that condition. Case-Laws Central Excise Mon, 16 Aug 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=49005