https://www.taxtmi.com/caselaws?id=109206 Liquid nitrogen gas used to create and maintain an inert atmosphere in a synthesis gas compressor was treated as an input used in relation to the manufacture of methanol under Modvat Rule 57G. The material was found indispensable to uninterrupted production because it prevented oxidation, explosion and stoppage of the compressor; without it, methanol manufacture could cease. On that reasoning, indirect use to safeguard equipment and sustain the manufacturing process was sufficient, and duty paid on the nitrogen was available as Modvat credit. The denial of credit was therefore held unsustainable. en-us Fri, 22 Nov 2002 00:00:00 +0530 Fri, 06 Apr 2012 15:32:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=109206 Liquid nitrogen gas used to create and maintain an inert atmosphere in a synthesis gas compressor was treated as an input used in relation to the manufacture of methanol under Modvat Rule 57G. The material was found indispensable to uninterrupted production because it prevented oxidation, explosion and stoppage of the compressor; without it, methanol manufacture could cease. On that reasoning, indirect use to safeguard equipment and sustain the manufacturing process was sufficient, and duty paid on the nitrogen was available as Modvat credit. The denial of credit was therefore held unsustainable. Case-Laws Central Excise Fri, 22 Nov 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=109206