2015 (4) TMI 204

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....ecords, we find that the appellants are engaged in the manufacture of cement and clinkers classifiable under chapter sub heading 2523.29 and 2523.90 of the Schedule to the CETA, 1985. They availed cenvat credit on inputs, capital goods and input service. In the present case, they availed cenvat credit on cement, steel etc. used for constructing "Silos" to be used for storage of cement and various raw material. Appellant contended that storage of cement in "Silos" is part of the process of manufacture of cement. After manufacture of cement in the continuous process, cement is stored in Silos. So it is part and parcel of the manufacturing process. According to the Revenue, Silos are immovable items and structural materials and therefore the a....

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....ession of facts, fraud, collusion with intent to evade duty. Therefore, both on merit as well as on bar of limitation, the appeal filed by the Revenue came to be dismissed. It is aggrieved by the said order, the present appeal is filed. 6. This Court had an occasion to consider the very same issue which is involved in this appeal in CEA No. 95/2009 disposed of on 8-4-2011 [2011 (271) E.L.T. 360 (Kar.)]. After referring to several judgments of this Court, it was held as under: The learned counsel appearing for the revenue assailing the "4. impugned order contended that as per the definition of Rule 57-Q there was no storage tank included in the definition of capital goods. It is only by Notification dated 1-3-2001 in the definition ....

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....by a Notification, specifically storage tank is introduced within the definition of capital goods. The said insertion is classificatory in nature. Under these circumstances, even though the said insertion was in the year 2001 we are concerned with the period anterior to the said insertion. Having regard to the aforesaid facts and also the fact that 5. the assessing authority has himself extended the benefit to storage tank storing water as a component to main machinery namely, boiler, he ought to have extended the benefit to the storage tanks which are also part of the factory premises, in which the by-products are stored and thereafter sold as a finished product. In that view of the matter, we do not find any justification to interfere ....