Case Law Analysis
|Custom, Excise & Service Tax Tribunal
Rule 3(5) CENVAT Credit Rules | Mere Invoicing Without Physical Removal Does Not Trigger Duty Reversal : CESTAT Chennai
CESTAT Chennai rules that raising invoices for capital goods (moulds) without physical removal from the factory does not constitute 'removal' under Rule 3(5) of the CENVAT Credit Rules, 2004. This holding shields manufacturers from duty reversal obligations solely based on invoicing, reinforcing the need for actual physical removal to attract credit reversal.