TMI Blog2013 (3) TMI 452X X X X Extracts X X X X X X X X Extracts X X X X ..... 2004 in para 7 of the judgment and also found that the storage tank was capital goods which made the appellant in that case eligible to input credit. For the fact that the oil tank was not embedded to earth, the appellant is entitled to the Cenvat credit on inputs in the peculiar circumstances of the present case. - Decided in favor of assessee. - E/817/2011-SM(BR) - 937/2012-SM(BR)(PB) - Dated:- 10-7-2012 - Shri D.N. Panda, J. REPRESENTED BY : Shri S.C. Kamra, Advocate, for the Appellant. Shri Sanjay Jain, DR, for the Respondent. [Order]. Shri Kamra, ld. Counsel submits that H.R. Sheets, M.S. Plates and angles were used in fabrication of oil tank which was a capital goods coming under Chapter 73 of Central Excise Tari ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed to the following effect : but shall not include cement, angles, channels. Centrally Twisted Deform bar (CTD) or Thermo Mechanically Treated bar (TMT) and other items used for construction of factory shed, building or laying of foundation or making of structures for support of capital goods 8. Therefore, the intention of the Legislature is very clear that it is only the inputs used in the manufacture of construction of capital goods which is construed as input and cenvat credit is available on the duty paid in purchase of such inputs. If the cement, angles, channels, Centrally Twister Deform bar (CTD) or Thermo Mechanically 6 Treated bar (TMT) and other items are used in the construction of factory shed, building or laying of foun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... whether the factual background of the case of the appellant is covered by aforesaid judgment. 6. The appellate order nowhere disputes as to the affixation of the capital goods to earth. It is only a mechanical disallowance of cenvat credit by first appellate order without examining the use of the inputs in fabrication of the oil tank. Emergence of the oil tank is an admitted fact. That is also a capital goods under Chapter 73 of Tariff Act, 1975. Therefore, there should not be denial of Cenvat Credit on the input used. Hon ble High Court of Karnataka examined Rule 2(k) of Cenvat Credit Rule 2004 in para 7 of the judgment and also found that the storage tank was capital goods which made the appellant in that case eligible to input credit. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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