1999 (7) TMI 122 - AT - Central Excise

Summary

The Appellate Tribunal CEGAT, New Delhi allowed Modvat credit on spares for machines used in packing goods in cartons, considering them as capital goods essential for manufacturing. The lower authority's denial was overturned, stating that packing goods in cartons is part of the manufacturing process and necessary for marketability. The appeal by the appellants was allowed, granting them consequential relief.