Feedback   New User   Login      
Tax Management India. Com TMI - Tax Management India. Com
Acts / Rules Notifications Circulars Tariff/ ITC HSN Forms Case Laws Manuals Short Notes Articles SMS News Highlights
        Home        
Extracts
Home List
← Previous Next →

M/s. Pennar Aluminium Co. Limited Versus Commissioner of Central Excise & Customs, Nagpur

2015 (11) TMI 597 - CESTAT MUMBAI

Disallowance of MODVAT Credit - Charging machine - Capital goods - Held that:- On the issue of admissibility of modvat credit under Rule 57Q in respect of material handling equipment. In the present case also charging machine is used as a material handling machine therefore as per the use of the machine as well as issue supported by various judgments, the credit is admissible. As regard lathe machine, it is used for maintenance of rollers which is used in the rolling mills directly in relation t .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

duct i.e. aluminium product in the factory of the appellant. - even machine used in the work shop for maintenance are eligible for the modvat credit. I am therefore of the considered view that both the items i.e. Charging machine and lathe machine are qualified as capital goods and squarely covered under the of definition of capital goods provided under 57Q of Central Excise Act, 1944, hence eligible for modvat credit, therefore the impugned order is modified - Decided in favour of assessee. - A .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

id order the appellant is before me. 2. Shri. Rajesh Ostwal, Ld. Counsel for the appellant submits that appellant is a manufacturer of various Aluminium products for manufacturing the same, charging machine is used for transportation aluminium coils from charging section and loading inside the annealing furnace and take it out from the furnace. Thereafter annealing aluminium coils is part of the process for manufacture of aluminium products. It is his submission that the process of charging and .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

2002(145) ELT A86(SC)]. (d) Banco Products (India) Ltd. Vs. CCE [2009(235)ELT 636(Tri.LB). All the above judgments are on the issue of admissibility of modvat credit under Rule 57Q in respect of material handling equipment. In the present case also charging machine is used as a material handling machine therefore as per the use of the machine as well as issue supported by various judgments, the credit is admissible. As regard lathe machine, it is used for maintenance of rollers which is used in .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

he use of roller and maintenance thereof for further use in the manufacture of final product is directly related to their manufacturing activity and therefore credit should be allowed on lathe machines. 3. On the other hand, Shri. H.M. Dixit, Ld. Asstt. Commissioner(A.R.) appearing on behalf of the Revenue reiterates the findings of the impugned order. He submits that as regard lathe machines, in the judgments relied upon by the Ld. Counsel in the case of NRB Bearings Ltd(supra) lathe machine in .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

s not ancillary process of manufacturing therefore is not used for manufacturing process hence is not eligible for modvat credit under Rule 57Q of Central Excise Rules, 1944. 4. I have carefully considered the submissions made by both sides and perused the record. 5. As regard the charging machine, it is observed that the use of the machine is not under dispute that the charging machine is used for transporting aluminium coil into the furnace and taking out coils after annealing from the furnace .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

Discussion Forum
what is new what is new
 


Share:            

|| Home || About us || Feedback || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version