1997 (4) TMI 290

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..... follows : 1.1 The appellants herein obtained Uninterrupted Power Supply (UPS) system and High Voltage Test Set (HVTS) and intended to obtain the Modvat credit under Rule 57Q on the ground that these are required for running their computers which in turn are used for producing their final product namely, drawing and designing of the final product. 1.2 The appellants herein are producing electro .....

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..... fore, submits that the said goods fully satisfy the definition of the capital goods given in Explanation under Rule 57Q. He also submits that this has been admitted by the Commissioner of Central Excise (Appeals) in the following words :- I agree with the appellants that both the items are very much essential for them for the manufacture of final product. He, therefore, submits that denial .....

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..... Modvat credit on the said goods can be denied under Rule 57Q. They are clearly `capital goods being machines and machineries for production of the goods inasmuch as no goods can be produced unless drawing and designing is produced in the first instance. I am, therefore, of the view that the goods in question are directly connected with the production of the final product. In the circumstances, I .....

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