Manufacturers win appeal on Modvat credit for inputs in photocopying machines

MODI XEROX LTD. Versus COLLECTOR OF CENTRAL EXCISE, MEERUT

MODI XEROX LTD. Versus COLLECTOR OF CENTRAL EXCISE, MEERUT - 1997 (94) E.L.T. 139 (Tribunal) The appellants manufacture photocopying machines, toners, and developers. They filed a declaration specifying toner as the final product and polypropylene, HDPE as inputs. They paid duty on toner bottles at 15% ad valorem. Show cause notices were issued to recover Modvat credit on HDPE and polypropylene. The Tribunal held that appellants rightly availed benefits under Notification Nos. 53/88 and 14/92 instead of Notification No. 217/86. The appeal was allowed, setting aside the impugned order. (Case: 1997 (4) TMI 171 - CEGAT, NEW DELHI)