https://www.taxtmi.com/caselaws?id=52215 Modvat credit on carbon black inputs was held admissible where incidental off-gases, treated as a by-product, were burnt to generate steam. The Tribunal reasoned that the bar on credit for exempt final products applies only when the original inputs are shown to have been used in manufacturing the exempt product itself. Mere indirect linkage through a by-product did not satisfy that test, so denial of credit was not justified and the rule on exempt products was inapplicable. On that basis, the impugned order was set aside and credit on the principal inputs remained available. en-us Fri, 07 Mar 2003 00:00:00 +0530 Mon, 04 Oct 2010 12:16:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=52215 Modvat credit on carbon black inputs was held admissible where incidental off-gases, treated as a by-product, were burnt to generate steam. The Tribunal reasoned that the bar on credit for exempt final products applies only when the original inputs are shown to have been used in manufacturing the exempt product itself. Mere indirect linkage through a by-product did not satisfy that test, so denial of credit was not justified and the rule on exempt products was inapplicable. On that basis, the impugned order was set aside and credit on the principal inputs remained available. Case-Laws Central Excise Fri, 07 Mar 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=52215