https://www.taxtmi.com/caselaws?id=109136 Modvat credit treatment is examined for machinery items and process fluids used in manufacture. Pumps and galvanised iron pipes used for operating a boiler are treated as capital goods under Rule 57Q, with later inclusion of pipes regarded as clarificatory and retrospective. A heat-transfer fluid used to carry and impart heat to in-process goods is treated as an eligible input under Rule 57A because it is used in relation to manufacture even though it does not form part of the final product. The discussion emphasises functional use, not physical incorporation, in determining credit eligibility. en-us Thu, 14 Oct 1999 00:00:00 +0530 Fri, 06 Apr 2012 10:42:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=109136 Modvat credit treatment is examined for machinery items and process fluids used in manufacture. Pumps and galvanised iron pipes used for operating a boiler are treated as capital goods under Rule 57Q, with later inclusion of pipes regarded as clarificatory and retrospective. A heat-transfer fluid used to carry and impart heat to in-process goods is treated as an eligible input under Rule 57A because it is used in relation to manufacture even though it does not form part of the final product. The discussion emphasises functional use, not physical incorporation, in determining credit eligibility. Case-Laws Central Excise Thu, 14 Oct 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=109136