https://www.taxtmi.com/caselaws?id=472178 CENVAT credit distributed by a principal manufacturer through input service distributor invoices may be availed by an authorised contract manufacturing unit operating under a registration-exemption notification in the pre-1 April 2016 regime. Rule 7 permitted credit distribution to manufacturing units without requiring that they be owned by the distributor. Where the contract manufacturer produced goods exclusively for the principal, discharged excise duty on the principal's assessable value, and the input services formed part of that value, the credit remained available. This approach prevents cascading of duties and taxes on dutiable final products. en-us Wed, 03 Jul 2024 00:00:00 +0530 Thu, 01 Oct 2026 14:23:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=472178 CENVAT credit distributed by a principal manufacturer through input service distributor invoices may be availed by an authorised contract manufacturing unit operating under a registration-exemption notification in the pre-1 April 2016 regime. Rule 7 permitted credit distribution to manufacturing units without requiring that they be owned by the distributor. Where the contract manufacturer produced goods exclusively for the principal, discharged excise duty on the principal's assessable value, and the input services formed part of that value, the credit remained available. This approach prevents cascading of duties and taxes on dutiable final products. Case-Laws Central Excise Wed, 03 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=472178