2000 (9) TMI 386 - AT - Central Excise

Summary

The appeal considered whether spares of air-conditioning systems brought to a factory are capital goods for duty credit. The Tribunal accepted that such goods are capital goods based on previous interpretation. The objection that the air-conditioning system was not essential for manufacturing goods was dismissed, as maintaining required temperature and humidity for spinning cotton yarn was deemed reasonable. The appeal was allowed, and the impugned order was set aside.