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TMI Blog2017 (1) TMI 156X X X X Extracts X X X X X X X X Extracts X X X X ..... alvanized step treads etc. falling under Chapter 72 and 73 of CETA under the category of capital goods. 2. The learned AR Shri Nagaraj Naik reiterated the findings in the grounds of appeal and also adverted to the Order-in-Original passed by the adjudicating authority who had disallowed the credit. He submitted that the respondents had utilized the subject items for expansion of the plant and for construction of civil structures to support the boilers and other machineries used for manufacture of pulp. That appellants used the subject items for steel structures for making platforms for capital goods etc and also for staircases and therefore is not eligible for credit. 3. On behalf of the respondent, the learned counsel Ms. Thenmoz ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... very wide and liberal. To clear the initial doubts about the eligibility of CENVAT credit on capital goods and inputs and their interpretation, there are many judgments rendered by various judicial fora. From these various judgments, we can understand that the meaning of capital goods has undergone a lot of change right from its advent and the language used in the explanation is very liberal. In my opinion, to understand whether any particular machinery falls within the scope of capital goods or whether any item can be used as an input for the capital goods, one has to traverse beyond the definition of the capital goods and should not merely interpret it with reference to the chapter / sub-heading of the goods / item in terms of the Cent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to be inputs used for the construction / fabrication of the machinery. These goods once get embedded in the manufacturing line, lose their identity and contribute their part in the production of the goods, whether directly or indirectly. They can no longer be considered as the same goods which in which they were brought into the factory. By undertaking fabrication work, these inputs no longer remain in the same form but become a part of the particular capital goods whether used directly to fabricate the capital goods or used for constructing mechanical / civil structures used to access the capital goods. 5. I do find merits in the above observations made by Commissioner(Appeals). Further it is also to be considered that in the app ..... X X X X Extracts X X X X X X X X Extracts X X X X
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