https://www.taxtmi.com/caselaws?id=87794 Modvat credit was analysed by applying the test of a direct and integral nexus with manufacture of the notified final product. Mining equipment used for extraction and transport of limestone was treated as outside the factory-based manufacturing process, so credit on the excavator and dumpers was inadmissible. Steel castings used in the limestone crusher required fresh factual examination because the record lacked particulars of their exact use. Furnace oil used in a stand-by generator and lubricating oil, without proof of a manufacturing nexus, were also treated as ineligible inputs. Penalty was considered unsustainable where the dispute depended on interpretation of the credit provisions. en-us Thu, 07 Aug 1997 00:00:00 +0530 Tue, 13 Sep 2011 10:28:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=87794 Modvat credit was analysed by applying the test of a direct and integral nexus with manufacture of the notified final product. Mining equipment used for extraction and transport of limestone was treated as outside the factory-based manufacturing process, so credit on the excavator and dumpers was inadmissible. Steel castings used in the limestone crusher required fresh factual examination because the record lacked particulars of their exact use. Furnace oil used in a stand-by generator and lubricating oil, without proof of a manufacturing nexus, were also treated as ineligible inputs. Penalty was considered unsustainable where the dispute depended on interpretation of the credit provisions. Case-Laws Central Excise Thu, 07 Aug 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=87794