9911796707
TMI Blog2007 (11) TMI 542X X X X Extracts X X X X X X X X Extracts X X X X ..... lant filed this appeal against denial of Cenvat credit on capital goods viz. Welding Electrodes, shaft, Asbestos packing/CAF Jointing Sheet, Plates/Shafts/Sections of Iron and Steel etc. After hearing both the sides and on perusal of the records, the admissibility of the credit on these items as capital goods are discussed herein below :- (i) Welding Electrodes (a) Welding Electrodes were used ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iew of this, the demand of duty denying the credit in respect of welding electrodes is upheld. In view of the above, denial of credit on welding electrodes is upheld. (ii) Shaft It is seen that the shaft is the part of the main rollers, which is classifiable under Chapter 84 within the definition of the capital goods. It is further seen that the shaft is the component or the parts of the ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Commissioner observed that these items are known to be construction/fabrication material in common parlance and in no way the nature of these items can be said to fall within the meaning of components, accessories or spares of capital goods. 2. Ld. Advocate relied upon the decision of the Hon ble Rajasthan High Court in the case of Union of India v. Hindustan Zinc Ltd. Reported in 2007 (214) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hese items were used for making structure of the factory. Therefore, the use of these items are not covered by the decision of the Hon ble High Court of Rajasthan in the case of Hindustan Zinc Ltd. I find that the Hon ble Rajasthan High Court allowed the credit on these items used in workshop for repair and maintenance of the machinery. Therefore, these items cannot be treated as capital goods. Ac ..... X X X X Extracts X X X X X X X X Extracts X X X X
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