https://www.taxtmi.com/caselaws?id=82120 Salt-melt used in a heat exchanger to remove excess heat from an exothermic reaction was treated as outside the scope of Modvat input credit under Rule 57A. Because it did not participate in the reaction, was not consumed in the manufacturing process, and served only to keep the manufacturing apparatus functional, it was distinguished from materials used directly in or in relation to manufacture. The legal point is that a substance used merely to maintain or operate equipment, rather than to form part of or assist the production process itself, is not an eligible input for Modvat purposes. en-us Tue, 04 Aug 1992 00:00:00 +0530 Sat, 02 Jul 2011 11:08:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=82120 Salt-melt used in a heat exchanger to remove excess heat from an exothermic reaction was treated as outside the scope of Modvat input credit under Rule 57A. Because it did not participate in the reaction, was not consumed in the manufacturing process, and served only to keep the manufacturing apparatus functional, it was distinguished from materials used directly in or in relation to manufacture. The legal point is that a substance used merely to maintain or operate equipment, rather than to form part of or assist the production process itself, is not an eligible input for Modvat purposes. Case-Laws Central Excise Tue, 04 Aug 1992 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=82120