Cenvat credit on cement for machinery foundations was referred to a Larger Bench amid conflicting Tribunal views.

Cenvat credit on cement used in the foundation and supporting structures of plant and machinery was examined in light of conflicting Tribunal views on whether such cement could qualify as capital goods, input, component, or accessory under the Cenvat Credit Rules. Because the authorities were divergent and the issue required authoritative resolution, the matter was referred to a Larger Bench for determination rather than finally decided on merits.

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Issues: Whether cement used for the foundation or supporting structure of machinery qualifies as capital goods for the purpose of Cenvat credit, and whether the conflict in tribunal decisions warranted reference to a Larger Bench.

Analysis: The appeals concerned credit taken on cement used in civil foundation and supporting structures for plant and machinery. The record showed conflicting views of different Tribunal Benches on whether such cement could be treated as capital goods, input, component, or accessory under the Cenvat Credit Rules. In view of the divergent authorities and the need for authoritative resolution, the matter was considered fit for consideration by a Larger Bench rather than for final determination on merits in the present order.

Conclusion: The question was not finally decided on merits and was referred for decision by a Larger Bench.

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