https://www.taxtmi.com/caselaws?id=35033 Modvat credit on capital goods used for manufacturing an intermediate product could not be denied merely because that intermediate stage was excluded under the relevant capital goods provision or was not itself a marketable final product. Sliver/carded or combed cotton was treated as transient, without independent market existence, and incapable of being bought and sold. Since the final product, cotton yarn, was cleared on payment of duty and the intermediate product was used captively in its manufacture, marketability remained the essential excise criterion. Credit on the capital goods was therefore admissible. en-us Tue, 28 Apr 2009 00:00:00 +0530 Tue, 12 Feb 2013 10:26:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=35033 Modvat credit on capital goods used for manufacturing an intermediate product could not be denied merely because that intermediate stage was excluded under the relevant capital goods provision or was not itself a marketable final product. Sliver/carded or combed cotton was treated as transient, without independent market existence, and incapable of being bought and sold. Since the final product, cotton yarn, was cleared on payment of duty and the intermediate product was used captively in its manufacture, marketability remained the essential excise criterion. Credit on the capital goods was therefore admissible. Case-Laws Central Excise Tue, 28 Apr 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=35033