TMI Blog2023 (10) TMI 1082X X X X Extracts X X X X X X X X Extracts X X X X ..... unals have been consistently holding that the definition of Inputs is wide and comprehensive. There are number of decisions in favour of the appellants in cases with identical facts. Only one decision of Hon ble Kerala High Court is against the appellants and the same is relied upon in the impugned order. Learned Counsel for the appellants submits that Hon ble Apex Court [ 2011 (11) TMI 881 - SC ORDER ] has stayed the operation of the said decision, of the Hon ble Kerala High Court in COMMISSIONER OF CENTRAL EXCISE VERSUS APPOLLO TYRES LTD. [ 2010 (8) TMI 287 - KERALA HIGH COURT] . Even after the decision of Hon ble Kerala High Court in the above case, Tribunal has been consistently holding that the credit of tubes and flaps is admissible for the manufacturers of tyres. The appellants are eligible to avail CENVAT credit on flaps and tubes cleared in a set packing along with the tyres manufactured by them. It is further found that Department s objection that the assessable value of tubes and flaps is separately shown in the invoices and therefore, CENVAT credit is not available, is not acceptable. Penalty of company and directors - HELD THAT:- As the credit is admissible ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le Kerala High Court has been stayed by the Hon ble Apex Court 2014 (310) ELT A153 (SC).He relies on the following cases in support of his contentions: SS Engineers Order, Civil Appeal No.5700 of 2019 dated 07.07.2023 (SC). Rosemarta Technologies Ltd.- 2020-TIOL-916- CESTAT-CHD affirmed by Hon ble Supreme Court vide Order dated 10.07.2023. Carrier Air Conditioning and Refrigeration Ltd.- Final Order No.A/60098-60099/202 dated 18.04.2023. SRF Ltd.- TIOL-523-CESTAT-DEL. Commissioner of CGST, Alwar Vs Balkrishna Industries Limited (vice-versa)- Final Order Nos.50243-5244/2023 dated 23.02.2023 affirmed by Rajasthan High Court Order dated 11.08.2023. Apollo Tyres Ltd.- 2014-TIOL-3135-CESTAT-AHM. Balkrishna Industries Ltd.- 2007 (217) ELT 228 (Tri. Del.) affirmed by Rajasthan High Court vide Order dated 04.01.2017. Apollo Tyres- 2014-TIOL-555-CESTAT-BANG. Balkrishna Industries Vs C.G., S.T. and C.E- Alwar (Vice Versa) Final Order No.52292-52293/2018 dated 26.06.2018. 3. Learned Counsel further submits that it is not disputed that the value of the tubes and flaps is included in the assessable value of tyres and as such once the value of bought out items ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nts did not declare the same as inputs in the annual declarations filed under Rule 9A(i) of CENVAT Credit Rules, 2004. He submits that the value of tubes and flaps were separately reflected in assessable value of tyres cleared and therefore, CENVAT credit is not admissible. He relies on the following cases and submits that tyres come into existence even before they are packed along with tubes and flaps and therefore simply because the appellants packed them as a set along with tyres, they do not become inputs: Godfrey Philips India Ltd.- 1993 (63) ELT 186 (Tri.) Garden Silk Mills- 1991 (51) ELT 373 (Tri.) Modern Mills- 1999 (113) ELT 822 (Tri.) 6. Learned Authorized Representative further submit that the appellants have not been declared their intent to use the tubes and flaps as inputs in the respective declarations as discussed above; moreover, the appellants supplied wrong data of CENVAT credit taken on flaps and tubes, which was found incorrect during the audit and this amounts to suppression of fact and therefore, extended period is invocable. He also submits that Shri R.K Gupta and Shri Yashwant Singh Yadav, being in charge of excise affairs of the company, h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e or consumption of any employee; and (F) any goods which have no relationship whatsoever with the manufacture of a final product. Explanation . - For the purpose of this clause, free warranty means a warranty provided by the manufacturer, the value of which is included in the price of the final product and is not charged separately from the customer;] 9. It is seen that the definition of Inputs as above has a wider connotation and the inputs can be used directly or indirectly and may or may not be contained in the final product. Moreover, they can also be accessories of the final products cleared along with the final products. It is not the case of the Department that these inputs fall under any exclusion clause of the definition. The Courts and Tribunals have been consistently holding that the definition of Inputs is wide and comprehensive. We find that there are number of decisions in favour of the appellants in cases with identical facts. Only one decision of Hon ble Kerala High Court is against the appellants and the same is relied upon in the impugned order. Learned Counsel for the appellants submits that Hon ble Apex Court[2014 (310) ELT A153 (SC)] has stayed t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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