2008 (9) TMI 220

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... her the machinery and the Copper/Aluminium Conductor, Impeller and Bulldozer will not fall within the definition of capital goods u/r 57Q of the CER, 1944- findings of the Tribunal that these items are part of the machinery is a finding of fact. - Explanation to Rule 57Q is liberal in nature. Each case has to be decided on its own facts – credit allowed
Deepak Gupta and V.K. Ahuja, JJ. Shri Sa .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... law : "Whether CEGAT has not erred by considering cold frame sections as capital goods under Rule 57Q of the Central Excise Rules, 1944, which are used for supporting/keeping various machines in position and are not covered under the definition of capital Goods as given in Rule 57Q at the relevant time?" 4. The entire dispute is whether the Copper/Aluminium Conductor. Impeller and Bulldozer as w .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... d restrictions as the Central Government may specify in this behalf : Provided that credit of specified duty in respect of any capital goods produced or manufactured- (a) in a free trade zone and used for the manufacture of final products in any other place in India; or (b) by a hundred per cent export-oriented undertaking or by a unit in an Electronic Hardware Technology Park and used for the .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ctory of the manufacturer. (2) 'specified duty' means duty of excise or the additional duty under Section 3 of the Customs Tariff Act, 1975 (51 of 1975)." 5. In the explanation to the Rule, Capital Goods have been defined to mean machines, machinery, plant, equipment, apparatus, tools or appliances used for producing or process of any goods. Even the components and spare parts of the aforesaid h .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ables, switch gears, capacitors etc. can be considered as Capital Goods we see no reason why the cold frame sections which hold together the machinery and the Copper/Aluminium Conductor, Impeller and Bulldozer will not fall within the definition of capital goods. The question whether a particular good is a Capital Good or not has to be decided in the context of its user and to this extent the find .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X