9911796707
TMI Blog2016 (8) TMI 490X X X X Extracts X X X X X X X X Extracts X X X X ..... TMT bars falling under Chapter 72031000 and are availing credit on inputs, input services and capital goods. Appellants procured goods such as HR plates, MS angles, MS flats , MS beams, HR coils and MS channels, plates, GP coils, welding electrodes etc. falling under Chapter 72,73,74,76 & 83 of CETA and appellants used them in work shops meant for repair and maintenance of machinery which are used in manufacture of final products and availed CENVAT credit, treating these items as inputs. A show-cause notice was issued to the appellant for wrongly availing CENVAT credit on ineligible inputs and interest and penalty are proposed in the show-cause notice. The main allegation in the show-cause notice is that these goods are not covered under th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... upon in the show-cause notice is not applicable in the present case. He further submitted that without proper upkeep and maintenance, the principal Plant and Machinery cannot function properly and such inputs are essential for smooth running of the Plant with greater efficiency. He also submitted that these goods are an integral part of the process in which the primary machines are engaged. In support of his submissions, he relied upon the following case laws: 1) Dhampur Sugar Mills Ltd Vs CCE [2008(226)ELT 742 (Tri-Del)] 2) UOI Vs Hindustan Zinc Ltd [2007(214)ELT 510(Raj)] On the other hand, the learned A.R. reiterated the findings of the Commissioner and further submitted that the disputed goods do not fall in the definition of inpu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uthorities below have held that impugned goods do not qualitfy as inputs to be eligible for CENVAT credit. Learned counsel for the appellant submitted that use of these inputs is essential for smooth running of the Plant with greater efficiency and it is integral part of the process for which the primary machinery are engaged. During the course of arguments before me, learned counsel filed a certificate of Chartered Engineer to the effect that the iron and steel articles as per the statement have been directly used in the manufacturing process only and he has also confirmed that without these articles, manufacturing process is not complete. Along with the certificate he has also produced number of photographs of the various items of inputs ..... X X X X Extracts X X X X X X X X Extracts X X X X
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