2010 (3) TMI 161

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....ngh Sullar. Present: Mr.Sanjeev Kaushik, Sr.Standing counsel, for the petitioner. Mr.Sudeep Singh, Advocate for the respondents. ASHUTOSH MOHUNTA, J. (ORAL) The Customs, Excise & Gold (Control), Appellate Tribunal, vide its order dated 21.3.2000 has referred the following substantial question of law for adjudication by this Court:- "Whether use of Oxygen/acetylene gases in cuttin....

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.... on inputs used in or in relation to the manufacture of the final products whether directly or indirectly and whether contained in the final product or not. According to section 57B, the manufacturer of final products shall be allowed to take credit of the specified duty paid on the inputs used in or in relation to the manufacture of final products, whether directly or indirectly and whether conta....

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....eing an input. In this case, the use of oxygen/acetylene gases in cutting of scrap of Iron & Steel into smaller pieces to be fed into a furnace is a part of integrated process connected with the ultimate production of final products namely steel ingots and other steel castings. In fact, in Escorts Mahle Ltd.'s case (supra), even parts of machinery would be eligible for modvat credit. Similar vi....