TaxTMI 
TaxTMI 
2010 (5) TMI 8
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....hapter 25 of the Central Excise Tariff Act, 1985, hereinafter referred to as `CETA, 1985'. 3. The Revenue's contention is that for the months of November and December, 1999, the Assessee had taken Modvat Credit on ineligible capital goods amounting to Rs.8,42,843/-. The further contention of the Revenue is that the Assessee was not entitled to such credit, inasmuch as, it had taken Modvat Credit on items which did not come within the purview of capital goods under Rule 57Q of the Central Excise Rules, 1944, although it was claimed by the Assessee that the said items comprised components, spares and accessories within the meaning of Explanation 1(d) of Rule 57Q (1) relating to capital goods. Accordingly, on 31st March, 2000, the Assessee wa....
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....uch as, the mandatory requirement stipulated in serial no.5 of the Table to Rule 57Q had not been complied with, he was not inclined to allow Modvat Credit in respect of the goods listed in serial nos.32 to 43 of the annexure to the notice. An appeal preferred before the Commissioner (Appeals) against the order of the Assistant Commissioner was rejected on 16th October, 2003, upon holding that the items in question were not capital goods and were not, therefore, entitled to Modvat Credit admissible under Rule 57A as well. The Commissioner (Appeals) held that the credit was not admissible on the goods listed under serial nos.32 to 43 of the show cause notice. 6. The matter was then taken in appeal before the Customs, Excise and Service Tax ....
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....that the decision in Jaypee Rewa Cement's case (supra) would have no application to the case was not accepted on the ground that the Cenvat Rules only reflected the Modvat Rules where the Rules had simply been re-arranged. Mr. Ganguli submitted that, inasmuch as, the items sought to be excluded by the Assistant Commissioner were components and accessories used in the mining process for manufacture of the final product, and were covered by Sub-heading No.84.31 to the Table annexed to Rule 57Q after its substitution by Notification No.6/97-CE(NT) dated 1.3.1997, as subsequently corrected on 1.3.1997, 10.3.1997 and 9.4.1997, the Assessee would be entitled to the benefits of Rule 57Q of the Central Excise Rules, 1944 and the impugned orders of ....
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.... that since the said decision, as also the decision in the case of J.K. Udaipur Udyog Ltd.'s case (supra), were available at the relevant time, the impugned decision arrived at by the High Court could not be assailed on account of the subsequent decision of the Constitution Bench on the reference made with regard to the views expressed in J.K. Udaipur Udyog Ltd.'s case (supra). 10. Mr. Banerjee urged that the impugned judgment of the Tribunal ought not, therefore, to be interfered with and the appeals of Madras Cements Ltd. were liable to be dismissed. 11. As indicated initially, the short point involved in these appeals relates to the eligibility of the Assessee for Modvat Credit on certain capital goods which were said to have been use....