TMI Blog2013 (11) TMI 879X X X X Extracts X X X X X X X X Extracts X X X X ..... ntative (DR) For the Respondent : Shri Kapil Vaish, C.A. JUDGEMENT Per. Rakesh Kumar :- The only issue involved in this case is as to whether welding electrodes used for repair and maintenance of the plant and machinery are eligible for Cenvat credit or not. The department being of the view that welding electrodes used for repair and maintenance of the machinery are not eligible for Cenvat credit, issued a show cause notice for recovery of Cenvat credit amounting to Rs. 4,00,168/- alongwith interest and imposition of penalty, which was adjudicated by the Assistant Commissioner vide order-in-original dated 27/1/11 by which the above-mentioned Cenvat credit demand was confirmed alongwith interest and penalty of equal amount wa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ny Ltd. vs. CCE, Allahabad [Final order No. 56645/2013 dated 06/6/13], wherein after discussing the judgments of various High Courts including the judgment of Hon ble Andhra Pradesh High Court in the case of Shree Rayalaseema Hi-Strength Hypo Ltd. vs. CCE, Tirupati (supra) and also the judgment of Apex Court in the case of J.K. Cotton Spg. And Wvg. Mills Co. Ltd. vs. Sales Tax Officer reported in 1997 (91) E.L.T. 34 (S.C.) it had been held that welding electrodes used for repair and maintenance of the plant and machinery would be eligible for Cenvat credit. In this regard para 5 to 8 are reproduced below :- 5. I have considered the submissions from both the sides and perused the records. There is no dispute that the welding electr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oods used in connection with manufacture or in relation to manufacture or which facilitates the conduct of manufacture will be included within Rule 13. Attention in this connection may be invited to a judgment of this Court in which it was held that vehicles used by a company (which mined ore and turned out copper in carrying an activities as a miner and as a manufacturer) fell within Rule 13, even if the vehicles were used merely for removing ore from to the mines to the factory, and finished goods from the factory to the place of storage. Spare parts and accessories required for effective operation of those vehicles were also held to fall within Rule 13, See Indian Copper Corporation Ltd. Vs. Commissioner of Commercial Taxes, Bihar CA No. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... manufacture and inputs used in repair maintenance would have to be treated as goods used in relation to manufacture. 7. Moreover I find that Hon ble Chhattisgarh High Court in case of Ambuja Cement Eastern Ltd. (Supra) has held that welding electrodes used for repair and maintenance of plant and machinery eligible for Cenvat Credit. In this case Hon ble Chhattisgarh High Court has also discussed the judgment of Tribunal in the case of M/s. Steel Authority of India Ltd. Vs. Commissioner of Central Excise, Ranchi reported in 2008(222) ELT-233 (Tri. Kolkata) the SLP filed by SAIL against which has been dismissed by the Apex Court and has observed that mere dismissal of SLP without giving any reason does not lay down any law. Hon ble Rajast ..... X X X X Extracts X X X X X X X X Extracts X X X X
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