Case Law Analysis
|Custom, Excise & Service Tax Tribunal
CENVAT Credit Not Lapsed Under Rule 11(3) When Only Partial Products Are Exempted; Rule 6(3) Inapplicable to Exports Under Bond : CESTAT
CESTAT rules that manufacturers retaining CENVAT credit on inputs used to produce both dutiable and exempted goods need not reverse credit merely because some final products are exempt - provided exports are made under bond. This clarifies that Rule 6(3) liability does not trigger for bonded exports, offering critical relief to export-oriented manufacturers with mixed product lines.