9911796707
TMI Blog2004 (7) TMI 207X X X X Extracts X X X X X X X X Extracts X X X X ..... uty paid on the capital goods under Rule 57Q, contained, inter alia, the following sub-rule : "(3) Notwithstanding anything contained in sub-rule (1), the manufacturer of the final products shall be allowed credit of additional duty leviable under Section 3 of the Customs Tariff Act, 1975 (51 of 1975) on goods falling under Chapter heading No. 98.01 of the First Schedule to the said Customs Tari ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as extension of the factory premises" (Ground A.3 of Appeal) and "the capital goods were constructively received by Ambheti factory when they were received by Vapi Office since the appellants from the day one expressed their intention to install and use the capital goods at the Ambheti factory" (Ground A.4 of Appeal) etc. Reliance has also been placed on the C.B.E. C.'s Circular No. 277/111/96-C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or on components/parts, is available to machinery used/related to production in a factory, or components/parts used as inputs in a factory. Such relationship to production comes into existence only on receipt of the items in question in the factory of production and not upon their purchase/import/receipt in the office of the manufacturing company. The nexus with the production/manufacture gets est ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ition quite clear. We read that Note : "(j) It has been provided that the credit of additional duty of customs paid on goods imported under project imports (Heading No. 98.01 of the Customs Tariff) shall be allowed. However, the credit shall be restricted to the extent of 75% of the duty paid" (emphasis added). 3. In view of the above noted legal position, appellant's contentions have no merit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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