https://www.taxtmi.com/caselaws?id=114336 Rule 57Q(2)(ii) does not bar Modvat credit on capital goods before installation where the goods are components, spares or accessories. On the facts, the items were treated as spares, so the restriction on pre-installation credit did not apply. Because the demand and penalty were founded on the incorrect premise that credit was unavailable until installation, the basis of the proceedings failed. The penalty was therefore not sustainable, and consequential relief followed. en-us Wed, 30 Jun 2004 00:00:00 +0530 Mon, 14 May 2012 18:04:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=114336 Rule 57Q(2)(ii) does not bar Modvat credit on capital goods before installation where the goods are components, spares or accessories. On the facts, the items were treated as spares, so the restriction on pre-installation credit did not apply. Because the demand and penalty were founded on the incorrect premise that credit was unavailable until installation, the basis of the proceedings failed. The penalty was therefore not sustainable, and consequential relief followed. Case-Laws Central Excise Wed, 30 Jun 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=114336