Cenvat credit on structural items and storage tanks upheld as capital goods under the relevant definition.

Cenvat/Modvat credit on structural items and storage tanks used in the factory was held admissible as the goods fell within the definition of capital goods for the relevant period. The court followed its earlier ruling on the same issue and treated the later insertion of storage tanks into the definition as classificatory in nature, not a substantive change. On that basis, the assessee was entitled to the credit claimed, and no substantial question of law arose for consideration.

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Issues: Whether the assessee was entitled to Cenvat/Modvat credit on structural items and storage tanks as capital goods.

Analysis: The appeal concerned credit on items such as MS plates, channels, coils and storage tanks used in the factory. The Court followed its earlier decision on the same issue and held that the relevant goods fell within the definition of capital goods for the period in question. It further held that the subsequent insertion of storage tanks in the definition was classificatory in nature and that the assessee was entitled to the benefit of credit. On that basis, no substantial question of law arose for consideration.

Conclusion: The issue was answered against the Revenue and in favour of the assessee.

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