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2018 (10) TMI 622 - AT - Central ExciseCENVAT Credit - input - HR Plates - Laboratory Furniture - whether the appellant is entitled for the Cenvat Credit in respect of HR Plates which were used for Fabrication of Storage Tank used for factory of the appellant and Laboratory Furniture? - Held that:- Goods used in the factory by the manufacturer of the final product are inputs. As per this sub-clause A of definition of Inputs, it is not required that the goods should be used in the final goods if it is used by the assessee in his factory whether the final product is not contained in the goods, it will quantify as input. There is no dispute that the HR Plates were used in the factory of the appellant who is the manufactured, plates were used for Fabrication of Storage Tank which is subsequently used for production of final product, therefore, it is not only used in the factory also used in the relation to manufacture of final product. Therefore, HR Plates clearly qualified as inputs in terms of Rule 2 (k) of cenvat Credit Rules, 2004 - credit allowed. Laboratory Furniture - Held that:- Appellant are not contesting the demand of Cenvat Credit on the Laboratory Furniture and the same has been reversed by them - demand upheld. Demand of Interest - Held that:- Since the appellant maintained the credit balance throughout the period the interest is not chargeable, in terms of Rule 14, wherein, it is provided that interest is chargeable only when assessee availed and utilized the Cenvat credit, therefore, only by availing the Cenvat Credit and not utilized the same, interest cannot be charged. Appeal allowed in part.
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