https://www.taxtmi.com/caselaws?id=99551 Modvat credit remains admissible on lubricating oil and grease used to lubricate machinery in manufacture because such inputs are integral to the working of machines and the manufacturing process. The Larger Bench reasoned that friction and heat generated during machine operation make these materials necessary to prevent damage and sustain production. The exclusion under Rule 57B(2) and the amendment introduced by Notification No. 46/96 were considered, but the earlier view favouring admissibility was affirmed, so the Revenue challenge failed. en-us Mon, 18 Jun 2001 00:00:00 +0530 Fri, 27 Jan 2012 17:42:13 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=99551 Modvat credit remains admissible on lubricating oil and grease used to lubricate machinery in manufacture because such inputs are integral to the working of machines and the manufacturing process. The Larger Bench reasoned that friction and heat generated during machine operation make these materials necessary to prevent damage and sustain production. The exclusion under Rule 57B(2) and the amendment introduced by Notification No. 46/96 were considered, but the earlier view favouring admissibility was affirmed, so the Revenue challenge failed. Case-Laws Central Excise Mon, 18 Jun 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=99551