2011 (8) TMI 399

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..... teel are capital goods within the meaning of the said Rule 57Q?   2. At the time of admission, this Court had framed the following question of law:   "Whether the Tribunal is correct in holding that structural steel items, viz., Rebar Coils, CTD Bars, TOR Steel and Cement used for civil construction activity, being in the nature of building materials are capital goods eligible for credit in terms of Rule 57Q as it stood at the relevant time."   3. The first respondent/assessee filed the declarations under Rule 57T for availing credit of duty paid on the capital goods in respect of the aforesaid items before the Original Authority. On the ground that the aforementioned goods are not in the nature of capital goods within the .....

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..... liberally, considered the above items as capital goods and ultimately allowed the appeal filed by the assessee. Under the above circumstances, these Civil Miscellaneous Appeals are filed at the instance of the Commissioner of Central Excise, Tiruchirapalli.   6. Rule 57Q reads as under:   Applicability:-(1) the provisions of this section shall apply to goods (hereafter in this section, referred to as the "final products") described in column (3) of the Table given below and to the goods (hereafter, in this section, referred to as "capital goods"), described in the corresponding entry in column (2) of the said Table, used in the factory of the manufacture of final products.   S.No  Description of capital goods falli .....

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..... urpose of construction of the plant comprising of concrete foundations, concrete silos for storing raw materials, clinker and cement, pre-heater tower structure, load centres etc. Having regard to the above factual findings, the Tribunal had found that these items are not used for civil construction, but for the construction, which are absolutely necessary for establishing a manufacturing unit for cement.   8. The question as to how Rule 57Q should be interpreted came up recently before the Apex Court in the judgment reported in 2010 (255) E.L.T. 481 (Commissioner of Central Excise, Jaipur v. Rajasthan Spinning & Weaving Mills Ltd.). In paragraphs 12 and 13, while applying the "user test" and following the Jawahar Mills's case, the Ap .....

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