https://www.taxtmi.com/caselaws?id=105372 Computer systems were not treated as capital goods eligible for Modvat credit under Rule 57Q because they were not shown to be used in the manufacture of excisable goods or to form part of the manufacturing line. Their use for production planning, monitoring, design, drafting and sketching was regarded as incidental rather than constituting direct manufacturing use. The later exclusion of Chapter 8471 was treated as clarificatory of the earlier position, and the broader Bench ruling relied on by the assessee was distinguished on the basis that the factual finding here remained that the system was not used for manufacture. Credit disallowance was therefore upheld. en-us Tue, 23 Oct 2001 00:00:00 +0530 Mon, 05 Mar 2012 14:46:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=105372 Computer systems were not treated as capital goods eligible for Modvat credit under Rule 57Q because they were not shown to be used in the manufacture of excisable goods or to form part of the manufacturing line. Their use for production planning, monitoring, design, drafting and sketching was regarded as incidental rather than constituting direct manufacturing use. The later exclusion of Chapter 8471 was treated as clarificatory of the earlier position, and the broader Bench ruling relied on by the assessee was distinguished on the basis that the factual finding here remained that the system was not used for manufacture. Credit disallowance was therefore upheld. Case-Laws Central Excise Tue, 23 Oct 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=105372