https://www.taxtmi.com/caselaws?id=93729 Inserts and tips used captively in manufacturing hand tools qualify as intermediate products for Modvat purposes. Rule 57C applies when the final product is exempt, while Rule 57D(2) governs exemption of intermediate products. Their treatment depends on their use in the manufacturing process: goods consumed within the factory in producing finished goods retain their intermediate-product character even where most identical goods are separately cleared on payment of duty. Separate duty-paid clearances therefore do not alter the status of the quantity captively consumed. The cited precedent involved different facts and did not affect this position; no referable question of law arose. en-us Mon, 03 Jul 2000 00:00:00 +0530 Wed, 16 Nov 2011 15:05:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=93729 Inserts and tips used captively in manufacturing hand tools qualify as intermediate products for Modvat purposes. Rule 57C applies when the final product is exempt, while Rule 57D(2) governs exemption of intermediate products. Their treatment depends on their use in the manufacturing process: goods consumed within the factory in producing finished goods retain their intermediate-product character even where most identical goods are separately cleared on payment of duty. Separate duty-paid clearances therefore do not alter the status of the quantity captively consumed. The cited precedent involved different facts and did not affect this position; no referable question of law arose. Case-Laws Central Excise Mon, 03 Jul 2000 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=93729