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2016 (12) TMI 1680 - HC - Central ExciseCENVAT/MODVAT credit - inputs used for making capital goods in the nature of M.S. Plates, M.S. Channels, M.S. Joists, etc. - main argument raised is that the user test has not been dealt with - Held that: - the Commissioner has specifically dealt with the functional usage of the various parts. User test as laid down in the Maruti Suzuki Ltd. v. Commissioner of Central Excise, Delhi-III [2009 (8) TMI 14 - SUPREME COURT] only provides that the authority should be satisfied that the use of these inputs is necessary for erection of the whole or part of the plant and machinery, which is essential for manufacture of the end product. It is not disputed that the inputs like M.S. Angles, M.S. Plates, M.S. Joists and Channels were used for manufacturing of certain essential parts of the factory which are capital goods and since they are essential parts of the factory, they satisfy the twin tests of being capital goods as well as the user test. Credit rightly allowed - appeal dismissed - decided against Revenue.
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