https://www.taxtmi.com/caselaws?id=54848 Cenvat credit on inputs used in manufacture is not required to be reversed merely because the inputs were damaged or became defective during the manufacturing process. The Tribunal treated the decisive factor as whether the inputs were received for use in or in relation to manufacture, not whether each input ultimately remained identifiable in the finished product. Following earlier coordinate-bench rulings, it noted that line rejection, assembly damage, or similar manufacturing loss does not undo credit already validly availed. The Revenue's challenge therefore failed, and the order allowing credit on the damaged inputs was upheld. en-us Mon, 07 Nov 2005 00:00:00 +0530 Fri, 22 Oct 2010 13:14:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=54848 Cenvat credit on inputs used in manufacture is not required to be reversed merely because the inputs were damaged or became defective during the manufacturing process. The Tribunal treated the decisive factor as whether the inputs were received for use in or in relation to manufacture, not whether each input ultimately remained identifiable in the finished product. Following earlier coordinate-bench rulings, it noted that line rejection, assembly damage, or similar manufacturing loss does not undo credit already validly availed. The Revenue's challenge therefore failed, and the order allowing credit on the damaged inputs was upheld. Case-Laws Central Excise Mon, 07 Nov 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=54848