https://www.taxtmi.com/caselaws?id=53233 Lighting fittings and parts installed in the manufacturing hall were treated as capital goods eligible for Modvat credit under Rule 57Q because they had a sufficient functional nexus with production. Applying the test whether manufacture would be difficult in normal industry conditions without the equipment, the CESTAT held that items used in the factory area and necessary for effective production can be regarded as intended for use in manufacture, even if they do not directly transform raw material. The disallowance of credit was therefore held unsustainable, and the appeal succeeded. en-us Fri, 30 Apr 2004 00:00:00 +0530 Mon, 11 Oct 2010 17:11:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=53233 Lighting fittings and parts installed in the manufacturing hall were treated as capital goods eligible for Modvat credit under Rule 57Q because they had a sufficient functional nexus with production. Applying the test whether manufacture would be difficult in normal industry conditions without the equipment, the CESTAT held that items used in the factory area and necessary for effective production can be regarded as intended for use in manufacture, even if they do not directly transform raw material. The disallowance of credit was therefore held unsustainable, and the appeal succeeded. Case-Laws Central Excise Fri, 30 Apr 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=53233