9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (10) TMI 1177 - AT - Central ExciseAvailability of CENVAT Credit - Capital goods - Held that - Revenue has not produced any evidence to show that such iron and steel items were used as supporting structurals. Even in the Larger Bench decision of the Tribunal in the case of Vandana Global, it was held that use of such items in fabrication of capital goods is permissible for the purpose of CENVAT credit. Learned advocate for the Respondent has also brought to my notice the latest decision of this Bench in the case of CC Guntur Vs Andhra Sugars Ltd 2014 (2) TMI 548 - CESTAT BANGALORE wherein credit in respect of identical items was allowed. As such, I find no merits in the Revenue s appeal. The same is accordingly rejected. - Decided against Revenue.
Issues: Availability of CENVAT credit in respect of iron and steel items.
In the judgment by the Appellate Tribunal CESTAT Bangalore, the issue revolved around the availability of CENVAT credit in respect of iron and steel items used for the erection and fabrication of a drying plant in the manufacturing process. The Commissioner (Appeals) had allowed the credit based on the Chartered Engineer's certificate and previous Tribunal decisions, considering the use in the fabrication of capital goods. The Revenue, being aggrieved by the Commissioner's order, filed an appeal challenging the decision. During the hearing, the Revenue failed to provide evidence that the iron and steel items were used as supporting structurals, which was a crucial point in the dispute. The Tribunal referred to the decision in the case of Vandana Global, highlighting that the use of such items in the fabrication of capital goods is permissible for claiming CENVAT credit. Additionally, the Tribunal noted a recent decision in the case of CC Guntur Vs Andhra Sugars Ltd where credit for identical items was allowed, further supporting the Respondent's position. Consequently, the Tribunal found no merit in the Revenue's appeal and rejected it, upholding the availability of CENVAT credit for the iron and steel items used in the manufacturing process.
|
