9911796707
TMI Blog2015 (11) TMI 597X X X X Extracts X X X X X X X X Extracts X X X X ..... transporting aluminium coil into the furnace and taking out coils after annealing from the furnace. The annealing process is vital process in the entire manufacturing process of the aluminium product in the appellant s factory. Annealing process cannot be carried out without using charging machine therefore in my view charging machine is directly used in the manufacture of final product i.e. aluminium product in the factory of the appellant. - even machine used in the work shop for maintenance are eligible for the modvat credit. I am therefore of the considered view that both the items i.e. Charging machine and lathe machine are qualified as capital goods and squarely covered under the of definition of capital goods provided under 57Q of Ce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1(132) ELT 71(Tri. Del.) (b) Grasim Cement Vs. CCE[1997(96)ELT354(Tri.)] (c) CCE Vs. Vikram Cement[2000(123)ELT 628(Tri)] affirmed by Supreme Court in the case reported at 2002(145) ELT A86(SC)]. (d) Banco Products (India) Ltd. Vs. CCE [2009(235)ELT 636(Tri.LB). All the above judgments are on the issue of admissibility of modvat credit under Rule 57Q in respect of material handling equipment. In the present case also charging machine is used as a material handling machine therefore as per the use of the machine as well as issue supported by various judgments, the credit is admissible. As regard lathe machine, it is used for maintenance of rollers which is used in the rolling mills directly in relation to the manufactur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... therefore is not used for manufacturing process hence is not eligible for modvat credit under Rule 57Q of Central Excise Rules, 1944. 4. I have carefully considered the submissions made by both sides and perused the record. 5. As regard the charging machine, it is observed that the use of the machine is not under dispute that the charging machine is used for transporting aluminium coil into the furnace and taking out coils after annealing from the furnace. The annealing process is vital process in the entire manufacturing process of the aluminium product in the appellants factory. Annealing process cannot be carried out without using charging machine therefore in my view charging machine is directly used in the manufacture of final p ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
