https://www.taxtmi.com/caselaws?id=51771 Welding electrodes used solely for repair or maintenance of machinery are not eligible for Modvat credit as capital goods under Rule 57Q of the Central Excise Rules, 1944, because their use does not bring them within the scope of that provision. The credit claim was therefore held inadmissible. On penalty, the unsettled legal position on eligibility and the absence of serious misconduct meant there was insufficient basis to sustain the levy, so the penalty was set aside. en-us Thu, 26 Dec 2002 00:00:00 +0530 Tue, 28 Sep 2010 11:24:27 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=51771 Welding electrodes used solely for repair or maintenance of machinery are not eligible for Modvat credit as capital goods under Rule 57Q of the Central Excise Rules, 1944, because their use does not bring them within the scope of that provision. The credit claim was therefore held inadmissible. On penalty, the unsettled legal position on eligibility and the absence of serious misconduct meant there was insufficient basis to sustain the levy, so the penalty was set aside. Case-Laws Central Excise Thu, 26 Dec 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=51771