TMI Blog2018 (7) TMI 421X X X X Extracts X X X X X X X X Extracts X X X X ..... he capital goods in the buildings earmarked for R&D activities as long as it is situated within the factory premises registered with the Central Excise Department. The facts are not in dispute that these capital goods are installed in the factory premises of the appellant and used in Research & Development section for testing and development - CENVAT Credit allowed - appeal allowed - decided in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oints urged by both the sides. The definition of capital goods during the period of dispute, as per Rule 2 of the Cenvat Credit Rules, 2004 is given below : (a) capital goods means : (A) the following goods, namely :- (i) all goods falling under Chapter 82, Chapter 84, Chapter 85, Chapter 90, heading No. 68.05 grinding wheels and the like, and parts thereof falling under headin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dit for the above goods as capital goods is that these goods should be used in the factory of the manufacturer of the final product. There is an exclusion however to any equipment or appliance used in office. 8. In is on record that the assessee s R D facility is located within the factory premises registered with the Central Excise Department, housed in buildings which are different from th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the appellant s factory premises are eligible for benefit of Modvat credit even if not used in the factory of manufacture of finished goods. The Hon ble Supreme Court has taken a similar view in the case of CCE, Coimbatore v. Jawahar Mills Limited - 2001 (132) E.L.T. 3 (S.C.). This decision was also delivered in the context of erstwhile Rule 57Q. Similar views were also been taken in the cases o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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