2009 (12) TMI 940

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....short question to be considered is whether CENVAT credit to the extent of 50% availed by the respondent in respect of capital goods in 2005-06 could be allowed. They could not take the first 50% of the duty paid on the capital goods as CENVAT credit in the previous year (2004-05) as their final products were fully exempt from payment of duty during that period. The original authority, in adjudicat....

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....cases, the assessee had not availed 50% of the CENVAT credit on capital goods during the first financial year in which the goods were received in their factory. One of the parties availed 100% credit in the next financial year, while the other party chose to avail 50% credit in the next financial year. In both the cases, it was held that there was no bar against availment of CENVAT credit in the s....