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2017 (4) TMI 1214 - CESTAT CHANDIGARHCENVAT credit - duty paying invoices - appellants are claiming the benefit of Cenvat Credit as capital goods for GP Sheets and Aluminum Sections on the basis that humidification plant was machinery as a whole under Chapter 84 and not a plant - the air duct being manufactured from the GP Coils/GP Sheets has been claimed as part of humidification machine which takes shape of plant after the installation of air ducts in different places in the factory premises - Held that: - reliance placed in the case of CCE, Chandigarh Vs. Modern Steel Ltd. [2006 (12) TMI 410 - CESTAT, NEW DELHI], where it was held that It is evident from the deliberate change in the definition of “capital goods” by omitting “plant” as well as “components, spare parts and accessories of plant thereof” there has come about a major shift in legislative intent, because plant was capable of a very wide meaning - the Ld. Commissioner (Appeals) has rightly rejected the claim of the appellants that the impugned goods are either capital goods or parts of the capital goods. As for the claim of the appellants that the impugned goods be treated as inputs, I find that these goods are not used in or in relation to manufacture of final products and they are also not used in the manufacture of capital goods which are further used in the factory of manufacturer. Hence, this claim is also not tenable. Extended period of limitation - penalty - Held that: - The irregular availment of Cenvat Credit was revealed by the Audit of the party and came to the notice after examining their documents - the extended period has rightly been invoked and penalty has rightly been imposed. As for the interest, the same is compensatory in nature. Appeal dismissed - decided against appellant.
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