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TMI Blog2019 (2) TMI 1173X X X X Extracts X X X X X X X X Extracts X X X X ..... both the terms are relative to the use they are put to. No doubt, grinding wheels are specifically mentioned in the definition of capital goods to be known as capital goods but they can acquire the relative character of being the input. The Hon’ble Apex Court in the case of Collector of Central Excise and others Vs. Solaris Chemical Ltd. [2007 (7) TMI 2 - SUPREME COURT OF INDIA] has held that when the article is captively consumed in the manner that without the use of the said article it was not possible to manufacture the final product. The article will come within the ambit of expression, “use in relation to the manufacture” occurring in Rule 57a of Central Excise Rules, 1944 - The Hon’ble Apex Court has further held that any operation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... R ORDER PER: RACHNA GUPTA Present Order disposes of two Appeals, issue involved being common to both the Appeals and the Order of Commissioner(Appeals) being common to both the Appeals. The requisite details for both the Appeals are tabulated as follows: Appeal No. SCN Dated O-I-O No. Date O-I-A No. Date Articles in question E/53181/2018 28.07.11 21.02.12 10.12.12 09.10.13 11.11.14 24.03.15 28.09.15 29 dated 13.06.2016 121 dated 05.09.2017 Grinding wheels, cutting tools and inserts E/53182/2018 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant and Mr. P.R. Gupta, Ld. DR for the Department. 3. It is submitted on behalf of the appellant that the articles as that of grinding wheels, cutting tools, inserts, etc. have been used by the appellant actually as inputs in the process of manufacture. Therefore, these goods qualify the definition of input rather qualifying the definition of capital goods. Hence, the 100% credit in the same financial year has been availed and utilised by the appellant. The Order under challenge is therefore prayed to be set aside. It is further submitted that there have been the decision of this Tribunal in appellant s own case however for the previous period. Commissioner(Appeals) has committed a judicial indiscipline while ignoring said dec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion to be adjudicated is as to whether grinding wheels, cutting tools and inserts (articles of the first Appeal) and refractory or refractory material (articles of the second Appeal)are capital goods as is alleged by the Department not entitled for availment of 100% of cenvat credit in the same financial year or these articles are the inputs as alleged by the appellant. Findings w.r.t. grinding wheels, cutting tools, inserts, etc. : For these items it is the appellants case that these have been used in the machines producing final product of the appellant and as such three of these articles are the inputs irrespective of grinding wheels being specifically mentioned in the definition of capital goods. IT is observed from the SCN as we ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s for production of final products will clothe it with the character of being an input which shall be available to cenvat in accordance of Rule 57(a). This Tribunal also in the case of Andhra Pradesh Paper Mills Ltd. Vs. Collector of Central Excise 1990 (50) E.L.T. 252 has earlier held that for the items to pass the test of eligibility to the benefit of credit it will be such that they participate in the process of manufacture without which the end product cannot be produced. There is no apparent denial on the part of the Department that the aforesaid three articles have not been used by the appellant in the process of the manufacture of their end product. The adjudicating authority is observed to have maintained silence to this aspect. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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