https://www.taxtmi.com/caselaws?id=85638 Returned aluminium slugs cleared earlier on payment of duty were not eligible Modvat inputs when they were brought back as defective goods and reprocessed into fresh slugs. The decisive test was whether the material received back was used in or in relation to manufacture of a new and distinct product; here, the goods received and the final goods remained slugs, with no change in character, name, or use. On those facts, the return and reconditioning of defective goods fell outside the Modvat scheme, and the line of cases on true manufacture from defective goods did not apply. en-us Tue, 14 May 1996 00:00:00 +0530 Sat, 06 Aug 2011 13:03:36 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=85638 Returned aluminium slugs cleared earlier on payment of duty were not eligible Modvat inputs when they were brought back as defective goods and reprocessed into fresh slugs. The decisive test was whether the material received back was used in or in relation to manufacture of a new and distinct product; here, the goods received and the final goods remained slugs, with no change in character, name, or use. On those facts, the return and reconditioning of defective goods fell outside the Modvat scheme, and the line of cases on true manufacture from defective goods did not apply. Case-Laws Central Excise Tue, 14 May 1996 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=85638