https://www.taxtmi.com/caselaws?id=109924 Rule 57Q allows Modvat credit not only where goods are independently classifiable as capital goods, but also where they function as components, spares or accessories of eligible capital goods. The dispute concerned webbing relay and operator panel rack, and the circular cited required this functional test to be applied rather than a narrow classification-based approach. As the factual character of the items had not been fully reconsidered on that basis, credit could not be finally denied without fresh examination. The matter was remanded for re-adjudication after giving the assessee an opportunity to establish eligibility. en-us Fri, 29 Aug 2003 00:00:00 +0530 Thu, 12 Apr 2012 18:22:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=109924 Rule 57Q allows Modvat credit not only where goods are independently classifiable as capital goods, but also where they function as components, spares or accessories of eligible capital goods. The dispute concerned webbing relay and operator panel rack, and the circular cited required this functional test to be applied rather than a narrow classification-based approach. As the factual character of the items had not been fully reconsidered on that basis, credit could not be finally denied without fresh examination. The matter was remanded for re-adjudication after giving the assessee an opportunity to establish eligibility. Case-Laws Central Excise Fri, 29 Aug 2003 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=109924