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of <h1>Rejected items used in manufacturing final products qualify for Modvat credit</h1> <h3>COMMISSIONER OF C. EX., DELHI-II Versus SADHU FORGINGS LTD.</h3> The Tribunal upheld the Commissioner (Appeals) decision granting Modvat credit to appellants for using rejected items as inputs in manufacturing final ... Manufacture - Modvat/Cenvat The Revenue filed an appeal against the Commissioner (Appeals) order. The Commissioner (Appeals) granted Modvat credit to the appellants for using rejected items as inputs in manufacturing final products. The Revenue argued that the processes undertaken do not amount to manufacture, but the Commissioner (Appeals) found them integral to the manufacturing process. The Tribunal upheld the Commissioner (Appeals) decision, stating no infirmity in the order.
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