https://www.taxtmi.com/caselaws?id=89072 Rule 57Q Modvat credit was available for equipment with an integral nexus to the manufacturing process or quality-control system, even where the item did not directly act on raw material. A spectrophotometer used to measure colour proportion and product quality qualified because it was closely connected with manufacture. Safety barriers forming part of a distribution control system also qualified, as the control system itself was treated as eligible capital goods. Worm wheel and worm shaft used in a conveyor system likewise qualified, because conveyor-related equipment supported the manufacturing flow and components of eligible machinery inherited that status. The stated principle is that capital goods eligibility depends on a holistic functional nexus with manufacture. en-us Fri, 29 May 1998 00:00:00 +0530 Fri, 23 Sep 2011 12:09:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=89072 Rule 57Q Modvat credit was available for equipment with an integral nexus to the manufacturing process or quality-control system, even where the item did not directly act on raw material. A spectrophotometer used to measure colour proportion and product quality qualified because it was closely connected with manufacture. Safety barriers forming part of a distribution control system also qualified, as the control system itself was treated as eligible capital goods. Worm wheel and worm shaft used in a conveyor system likewise qualified, because conveyor-related equipment supported the manufacturing flow and components of eligible machinery inherited that status. The stated principle is that capital goods eligibility depends on a holistic functional nexus with manufacture. Case-Laws Central Excise Fri, 29 May 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=89072