https://www.taxtmi.com/caselaws?id=444859 CESTAT Chandigarh allowed the appeal in a CENVAT credit dispute involving tyre manufacturers. The Department denied credit on tubes and flaps purchased from other manufacturers and cleared with tyres, arguing they weren't inputs under Rule 2(k) of CCR, 2004. The Tribunal held that the definition of "inputs" is wide and comprehensive, covering items used directly or indirectly in manufacturing, including accessories cleared with final products. Despite one adverse Kerala HC decision, the Tribunal noted consistent favorable precedents and that the SC had stayed the Kerala HC ruling. The Tribunal found tubes and flaps cleared in set packing with tyres qualify for CENVAT credit, rejecting the Department's objection about separate invoicing. Penalties on the company and directors were also set aside. en-us Fri, 20 Oct 2023 00:00:00 +0530 Mon, 23 Oct 2023 16:57:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=444859 CESTAT Chandigarh allowed the appeal in a CENVAT credit dispute involving tyre manufacturers. The Department denied credit on tubes and flaps purchased from other manufacturers and cleared with tyres, arguing they weren't inputs under Rule 2(k) of CCR, 2004. The Tribunal held that the definition of "inputs" is wide and comprehensive, covering items used directly or indirectly in manufacturing, including accessories cleared with final products. Despite one adverse Kerala HC decision, the Tribunal noted consistent favorable precedents and that the SC had stayed the Kerala HC ruling. The Tribunal found tubes and flaps cleared in set packing with tyres qualify for CENVAT credit, rejecting the Department's objection about separate invoicing. Penalties on the company and directors were also set aside. Case-Laws Central Excise Fri, 20 Oct 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=444859