https://www.taxtmi.com/caselaws?id=86570 Modvat credit was considered admissible on Residual Fuel Oil and Low Density Oil used as fuel in diesel generating sets to produce electricity for running electric arc furnaces and other manufacturing operations. Rule 57A was read broadly to cover inputs used in or in relation to manufacture, and the later Explanation adding inputs used as fuel was treated as clarificatory rather than restrictive. Because the electricity generated was an intermediary product essential to production, and the oils were also used directly at stages of manufacture, denial of credit on the ground that electricity was not the final excisable product was not accepted. The disallowance was therefore unsustainable. en-us Fri, 31 Jan 1997 00:00:00 +0530 Thu, 25 Aug 2011 16:24:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=86570 Modvat credit was considered admissible on Residual Fuel Oil and Low Density Oil used as fuel in diesel generating sets to produce electricity for running electric arc furnaces and other manufacturing operations. Rule 57A was read broadly to cover inputs used in or in relation to manufacture, and the later Explanation adding inputs used as fuel was treated as clarificatory rather than restrictive. Because the electricity generated was an intermediary product essential to production, and the oils were also used directly at stages of manufacture, denial of credit on the ground that electricity was not the final excisable product was not accepted. The disallowance was therefore unsustainable. Case-Laws Central Excise Fri, 31 Jan 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=86570