Reversal of Cenvat credit proportionate to input service used ...
Reversal of Cenvat credit for exempted goods with interest allowed; Revenue can't demand 10% of exempted value if opted for reversal.
July 22, 2024
Case Laws Central Excise HC
Reversal of Cenvat credit proportionate to input service used for exempted goods along with interest is a valid option u/r 6(3) of Cenvat Credit Rules, 2004, and Revenue cannot insist on payment of 10% amount of value of exempted goods when assessee has opted for reversal with interest. Tribunal properly acted as appellate authority u/s 35C of Central Excise Act, 1944, and no substantial question of law arises from its order.
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