TaxTMI 
TaxTMI 
TaxTMI 
2022 (10) TMI 513
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....Cenvat Credit of Rs.4,80,578/- on HR Sheets, HR Plates and MS Rods treating the said items/goods as inputs for manufacturing Sponge Iron and Billets. On the basis of an objection by the Auditor General(Odisha), Bhubaneswar, the Range Superintendent issued a letter dated 19.03.2013 alleging that the assessee had not declared it in time in the monthly ER-1 Returns submitted under Rule 12 of the Central Excise Rules, 2002 and Rule 9(7) of the Cenvat Credit Rules, 2004 to the jurisdictional Central Excise Range Officer during the years 2010-11 and 2011-12. No declaration in respect of the receipt of the impugned goods and their manner of utilization inside the factory of the assessee had been submitted to the Department and accordingly it was a....
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....To melt the iron, a Vessel known as ' Steel Former' is fabricated inside the factory. The Iron is melted inside this Steel Former. These HR sheet/ plates are used for making Former which is used in the furnace before initial heating begins. Each former is of 1100 mm. diameter and 2350 height inside the former spider of 16 mm diameter rod is given. These former are itself consumed, while the furnace are in operation. These are used inside the induction furnace as steel "Former" pattern to gie shape and rigidness to ramming mass (referactory castable) during lining and maintenance work of furnace. When the Sponge Irons along with other raw materials are melted for manufacture of Billet, the said "Steel Former" is also melted and mixes with ....
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.... same are melted and mixed with the Billet. So, these rods are used a inputs and become eligible for Cenvat Credit under CCR, 2004." 4. It is pertinent to note that the Show Cause Notice does not dispute the usage of the impugned goods. It is not in dispute that the impugned goods are used for manufacture of Steel Formers which is used as the liner of the Appellant's induction furnace and such Steel Formers get consumed in the process of the Appellant's manufacturing process. However, in the present case, Cenvat credit in respect of the impugned goods has been denied on the ground that Steel Formers "fall under Chapter 73 of the Central Excise Tariff Act, 1985". Upto 31.03.2011, the definition of 'input' covered "all goods except diesel ....
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....t-up. The expression "Raw-Material" is not a defined term. The meaning to be given to it is the ordinary and well-accepted connotation in the common parlance of those who deal with the matter. The ingredients used in the chemical technology of manufacture of any end-product might comprise, amongst others, of those which may retain their dominant individual identity and character throughout the process and also in the end-product; those which, as a result on interaction with other chemicals or ingredients, might themselves undergo chemical or qualitative changes and in such altered form find themselves in the end-product; those which, like catalytic agents, while influencing and accelerating the chemical reactions, however, may themselves ....
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....h go into the making of end-product" were made to emphasise the distinction between the "fuel" used for the kiln to impart the heat-treatment to ceramics and what actually went into the manufacture of such ceramics. The observations, correctly apprehended, do not lend themselves to the understanding that for something to qualify itself as "Raw-Material" it must necessarily and in all cases go into, and be found, in the end-product. 7. We also find no substance in the contention of Sri Ganguly that the process in which the Sodium Sulphate was used, was anterior to and at one stage removed from the actual manufacture of paper. Sri Sorabjee's answer to this contention is, in our view, appropriate. That apart the following observations in Col....