https://www.taxtmi.com/caselaws?id=433962 Cenvat credit on spares and accessories used in an adjoining unit remained admissible where both units formed an integrated manufacturing setup and the final products were cleared on payment of duty from the registered unit. The controlling test was whether the goods were used in or in relation to manufacture of the dutiable final product; physical use in the adjacent premises was not decisive. Credit could not be denied merely because machinery or components were located or used in an adjoining unit, so long as they continued to form part of the assessee's manufacturing operations and were not alienated. The denial of credit was therefore unsustainable. en-us Thu, 09 Feb 2023 00:00:00 +0530 Wed, 15 Feb 2023 08:51:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=433962 Cenvat credit on spares and accessories used in an adjoining unit remained admissible where both units formed an integrated manufacturing setup and the final products were cleared on payment of duty from the registered unit. The controlling test was whether the goods were used in or in relation to manufacture of the dutiable final product; physical use in the adjacent premises was not decisive. Credit could not be denied merely because machinery or components were located or used in an adjoining unit, so long as they continued to form part of the assessee's manufacturing operations and were not alienated. The denial of credit was therefore unsustainable. Case-Laws Central Excise Thu, 09 Feb 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=433962