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2016 (10) TMI 674 - AT - Central ExciseDenial of CENVAT credit - structural items like joints, rails, angles, channel plates, etc. - Held that: - the subject steel items have been used for manufacturing of crane gentry, slag pots and metal pouring fixtures; all these items are established as capital goods; Rule 2(k) of Cenvat Credit Rules, 2004 (CCR) and its explanation 2 makes clear that any input items used for manufacture of capital goods, which are further used in the factory for manufacture would be covered as inputs under Rule 2(k) of the CCRs. The yardstick of user test has been evolved clarifying that user of the subject items will determine whether the Cenvat credit could be claimed with reference to the said items. After applying the user test , I am of the considered view that the subject items namely, angle, channel, plate, joist, rail, etc., which have been used for manufacturing various capital goods are eligible for the Cenvat credit - appeal allowed - decided in favor of appellant.
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