both dutiable and exempted final products by
utilizing duty paid common inputs (Modvat credit of
which was taken) was liable to pay an amount equal ... cleared without payment of duty.
8. With the introduction of the Modvat Scheme in
the year 1986, the petitioner became entitled to take
credit
progress and finished goods must necessarily include the element for which Modvat credit is available has been the matter of considerable litigation. This point arises ... made an addition of Rs. 43,15.657/- on account of Modvat. The said addition was made on account of valuation of closing stock
credit of excise duty paid and included therein (hereinafter referred to as MODVAT credit). The cost of purchase, according to the assessee, is with ... this right. The MODVAT credit is directly relatable to the cost of inputs. The case of the Revenue, on the other hand, is that
Mandamus directing the respondents to continue the benefit of MODVAT Rules to Areated waters manufactured by the first petitioners, and in any event; to permit ... including a proposal to introduce a modified system of VAT, Known as MODVAT, and in March, 1986, in his Budget Speech in Support
liable to central excise duty, the exporters were unable to avail of Modvat Credit of additional customs duty (CVD) paid in cash on imported inputs ... exports made under the DEPB scheme of those products which cannot avail Modvat credit on additional duty of customs (CVD) paid in cash on imported
that at all stages of production the concerned units have been availing Modvat credit at each stage of the clearance of the goods on payment ... respective units for doing job work and paying duty/availing Modvat at respective stages and thereafter to follow the procedure laid down by Rule
locations and across the country.
4. The Petitioners were entitled to avail Modvat Credit in respect of inputs used in the manufacturing of goods ... Petitioners issued Modvat invoices from time to time and the same were entered in the register kept for that purpose and there is no dispute
petitioner, i.e. the Commissioner,
Central Excise and Customs, Aurangabad, disallowed
MODVAT credit for Rs.23,87,575/- obtained by
respondent no.1, imposed penalty ... during the period
1993-94 to 1997-98, respondent no.1 received
MODVAT credit on the tin plates having thickness
above 0.26 mm., which
January, 1988, so far as it denies right to opt out of Modvat scheme during the financial year and confirmed demand against the petitioners ... amendment to the said Rules (popularly described as "Modvat Rules"). Under the Modvat scheme while making payment of excise duty on finished goods
petitioners purchased number of capital goods. The petitioners
availed modvat credit on such capital goods in terms of Rule 57Q of
the Central Excise Rules ... show cause notice, the Department proposed to disallow Modvat
credit of Rs.18,58,54,731/- and show cause was issued for penalty
under Rule
