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TMI Blog2017 (9) TMI 1369X X X X Extracts X X X X X X X X Extracts X X X X ..... y Twisted Deform bar (CTD) or Thermo Mechanically Treated bar (TMT) and other items used for construction of factory shed, building or laying of foundation or making of structures for support of capital goods from the ambit of definition of inputs. Appeal dismissed - decided against appellant. - E/86027/13 - A/89516/17/SMB - Dated:- 12-9-2017 - Shri Raju, Member (Technical) Shri R.S. Indani, Advocate for the appellant Shri Sanjay Hasija, Supdt. (AR) for the respondent ORDER Per: Raju This appeal has been filed by Jai Mahesh Sugar Industries Ltd. against denial of cenvat credit on steel items used in fabrication work at factory for construction of shed/ construction for support of machinery. 2. Ld. Counsel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd that the appellants have used the steel items on which credit has been availed as supporting structure for the capital goods. On this very issue, the Hon'ble Apex Court in the case of Saraswati Sugar Mills (supra) has given its finding as under:- 19. It appears to us, in the light of the meaning of the expression 'component parts' that the iron and steel structures are not essential requirements in the sugar manufacturing unit. Anything required to make the goods a finished item can be described as component parts. Iron and Steel structures would not go into the composition of vacuum pans, crystallizers etc. If an article is an element in the composition of another article made out of it. such an article may be descr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... their classification. The same was the position prior to amendment in Rule 57Q (i.e. prior to 23-7-1996) when credit was available on components, spares and accessories of the specified capital goods irrespective of their classification. 4. Accordingly, it is clarified that all parts, components, accessories, which are to be used with capital goods of clauses (a) to (c) of Explanation (1) of Rule 57Q and classifiable under any chapter heading are eligible for availment of Mod vat credit. 7. In view of the clear finding of the Hon'ble Apex Court, items used for fabrication of supporting structure cannot be allowed. Moreover with effect from 07.07.2009 the definition of input appearing in Rule 2(k) of the Cenvat Credit Rules, 20 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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