TaxTMI 
TaxTMI 
TaxTMI 
cenvat credit
X X X X Extracts X X X X
X X X X Extracts X X X X
....envat credit<br> Query (Issue) Started By: - SHARMA NARAYAN Dated:- 5-1-2017 Last Reply Date:- 6-1-2017 Central Excise<br>Got 4 Replies<br>Central Excise<br>Dear sir, Can we take cenvat credit on Reinforcement Steel which is used in for preparion of Stack (Chimni) we can not take credit on cement i am sure about that but what about reinforcement steel & structure steel use for structure and plant....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... and machinery. Reply By Rajagopalan Ranganathan: The Reply: Sir, Rule 2 (k) of Cenvat Credit Rules, 2004 excludes from the definition of 'inputs' any goods used for - (a) construction or execution of works contract of a building or a civil structure or a part thereof; or (b) laying of foundation or making of structures for support of capital goods, except for the provision of servic....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e portion in the execution of a works contract or construction service as listed under clause (b) of section 66E of the Act. Services listed under Section 66 E (b) of Finance Act, 1994 are " construction of a complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly, except where the entire consideration is received a....
X X X X Extracts X X X X
X X X X Extracts X X X X
....fter issuance of completion-certificate by the competent authority. Therefore in my opinion you are not eligible to take credit of duty paid on reinforcement steel & structure steel Reply By Ganeshan Kalyani: The Reply: I agree with the views of Sri Rajagopalan Sir. But i would like to state that the steel being a integral part of chimney and chimney is essential as per factory act. The chimney....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... is a capital goods and therefore the steel is also to be considered as capital goods and hence credit should be allowed. In view of the above I would like to appeal that if the amount of credit is substantial then a reference of case law should be taken. Reply By Ganeshan Kalyani: The Reply: Refer, Honble Supreme Courts decision in the case of Commissioner Vs. Rajasthan Spinning & Weaving Mi....
X X X X Extracts X X X X
X X X X Extracts X X X X
....lls Ltd. [2010 (7) TMI 12 - SUPREME COURT OF INDIA], where the Apex court allows CENVAT credit on steel items (Plates and M.S. Chennels) keeping in view of the user test. Reply By MARIAPPAN GOVINDARAJAN: The Reply: I agree with the views of Shri Ranganathan<br> Discussion Forum - Knowledge Sharing ....