9911796707
TMI Blog2015 (11) TMI 670X X X X Extracts X X X X X X X X Extracts X X X X ..... espect of goods used in the captive mines of the appellant. - As regard the claim of Cenvat credit on Tyre Protection Chain, the credit on same item has been allowed in the case of A.C.C. Ltd.(2000 (3) TMI 88 - CEGAT, NEW DELHI) which was passed by the Coordinate Bench of this Tribunal and upheld by the Hon ble Panjab and Haryana High Court. Following the ratio of the said judgment, I allow the Cenvat Credit to the appellant in respect of tyre protection chain. Once the material is used in the immovable goods, as held by the Larger Bench in the case of Vandana Global(2010 (4) TMI 133 - CESTAT, NEW DELHI (LB)) the material used in the manufacture of such immovable goods shall not be eligible for Cenvat Credit. In the judgment of Rajasthan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowed. (iv) No penalty is imposed for the reasons recorded above. The fact of the case is that the appellant M/s. Ultra Tech Cement Limited availed Cenvat Credit on various capital goods and material used in manufacture of capital goods in their factory. By the impugned order, the Cenvat Credit was disallowed on the following items: Sr. No. Item in dispute Amount of Credit (in Rs.) 1. Capital goods used in the captive mines 19,74,075 2. Diesel Locomotive 6,23,275 3. Tyre Protection Chain 1,09,968 4. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as allowed, Diesel Locomotive runs on the same railway tracks for handling of the material therefore the use of railway tracks as well as Diesel Locomotive one and the same. Hence when credit is admissible on railway tracks the same should be allowed on the Diesel Locomotive also. (c) As regard claim of Cenvat Credit on Tyre Protection Chain. The said item is used to protect tyre of the wheel loader used in cleaner handling for wear and tear. He submits that on the very same item, this Tribunal has allowed the Cenvat Credit in the case of Commissioner of C. Ex. Chandigarh Vs. A.C.C. Ltd. [2000(119) ELT 82(Tribuanl)] which was upheld by the Honble High Court of Himachal Pradesh as reported in [2008(230) ELT 44 (H.P.)]. (d) Regarding C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Global Ltd. Vs. CCE, Raipur[2010(253) ELT 440(Tri- LB)] (ii) J.K. Cement Works Ltd. Vs. CCE, Jaipur[2004(178) ELT. 388(Tri-Del)] He submits that in view of the above judgments the appellant is not entitled for the Cenvat Credit for goods in question. 4. I have carefully considered the submissions made by both sides and perused record. 5. (a) I find that as regard capital goods used in the mines as per the submission of the appellant and ground plan submitted by them it is clear that it is captive mines which is used exclusively for the appellant factory. Hon ble Supreme Case in the case of Vikram Cement (supra) held that capital goods used in the captive mines, Cenvat Credit is admissible. Following the ratio of the Apex cou ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Co. Ltd.'s case, highlighted above. 19. When we read the order of the CEGAT, we find that CEGAT has not even adverted to and examined the issue from the aforesaid angle, which was the only method for arriving at a finding as to whether the railway tracks installed within the plant would come within the definition of capital goods under Rule 57Q of the Rules or not. The order of the CEGAT is stoically silent. It has affirmed the order of the Commissioner by simply observing that the Commissioner has arrived at the conclusion that these goods are not being used directly or indirectly for producing or processing the goods or for bringing about any change for the manufacture of the final product. We have already pointed out that the af ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and construction of RCC Tank(silo). When the said Tank(Silo) is made of cement steel then obviously it is immovable goods unlike other plant machinery such as DG Sets annealing line, pollution control equipment. Once the material is used in the immovable goods, as held by the Larger Bench in the case of Vandana Global(supra) the material used in the manufacture of such immovable goods shall not be eligible for Cenvat Credit. In the judgment of Rajasthan Spinning Weaving Mills Ltd(supra) of the Honble Apex Court and other judgment cited by the Counsel, the capital goods wherein material was used, the test of immovability was not dealt with. Since admittedly CTD bar and other steel items used for construction of Silo which is immovable go ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
