https://www.taxtmi.com/caselaws?id=106046 Equipment indispensable to ensuring the quality or specifications of goods during manufacture can qualify as capital goods for Modvat credit when its functional use is integral to the production process. The Electronic Yarn Evenness Tester was treated as essential for maintaining even yarn count, and that factual finding was not disputed by the Revenue. On that basis, the tester was held eligible as capital goods, the Revenue's challenge failed, and the order granting Modvat credit was upheld. en-us Mon, 10 Sep 2001 00:00:00 +0530 Mon, 12 Mar 2012 14:34:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=106046 Equipment indispensable to ensuring the quality or specifications of goods during manufacture can qualify as capital goods for Modvat credit when its functional use is integral to the production process. The Electronic Yarn Evenness Tester was treated as essential for maintaining even yarn count, and that factual finding was not disputed by the Revenue. On that basis, the tester was held eligible as capital goods, the Revenue's challenge failed, and the order granting Modvat credit was upheld. Case-Laws Central Excise Mon, 10 Sep 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=106046