Cenvat Credit reversal not required as Bagasse is not a manufactured final product

Ponni Sugars (Erode) Limited Vs Commissioner of Central Excise (CESTAT Chennai) In a recent ruling by the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) Chennai, in the case of Ponni Sugars (Erode) Limited versus the Commissioner of Central Excise, the tribunal held that Cenvat credit reversal is not required as bagasse is not considered a manufactured final product. Background: Ponni Sugars (Erode) Limited is engaged in the manufacture of sugar and molasses, availing CENVAT Credit on inputs and input services. The Department alleged a contravention of Rule 6 of the CENVAT Credi...