TaxTMI 
TaxTMI 
2024 (5) TMI 557
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....tly dis-allowed relating to the period March 2008 to April 2010. 2. The Appellant is a manufacturer of Castings falling under Chapter subheading 7351000 of the First Schedule to the CETA and holders of Central Excise Registration No. AABCV9689AXM002. The Appellant is also availing Cenvat Credit on inputs and capital goods used in the manufacture of final products. 3. For the purpose of manufacture of the final products, the Appellants procured various capital goods/equipments such as EOT Cranes, 3D Marking and Layout Machine, Sand Feed Hopper, Reclamation Tower, Rail for transfer car, Sound Proof Cabin, Steel Hoppers, Steel Tubes etc., for use in the factory. The entire quantity of the aforesaid items purchased was duly accounted for.....
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....tion tower support frame, rails for transfer car, paint collection pans, sound proof cabin with cooling systems, Steel hoppers, pouring plates, steel tubes, GP sheets welding mess, poles etc., fall under chapter 73 and accordingly are not classifiable as capital goods. (iii) Sand hoppers are not like storage tanks and accordingly is classifiable under chapter 73. 10. It is humbly submitted that MS items falling under Chapter 72 and 73 are utilized for setting up the plant and machinery falling under Chapter 84, which are used for manufacture of final product. 11. The Appellant submits that MS angles, beams, plates, sheets etc. purchased are used for the purpose of formation of following major equipment as evidenced by the cha....
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.... Global Ltd. (supra) and other judgments. Further, he has brought to our notice and emphasized the amendment carried out in Explanation-II to Rule 2(a) which defines the term "Input" w.e.f. 7-7-2009. It has further been pleaded that the Cenvat credit claimed for the period prior to this will be covered within the decision of the Larger Bench in the case of Vandana Global Ltd. (supra). 14. The Larger Bench decision in Vandana Global Ltd.'s case (supra) laid down that even if the iron and articles were used as supporting structures, they would not be eligible for the credit. Considering the amendment made w.e.f. 7-7-2009 as a clarification amendment and hence to be considered retrospectively. However, we find that the said decision o....
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.... is obvious that the structural items have been suitably worked upon for this purpose. Accordingly, the goods fabricated, using such structurals, will have to be considered as parts of the relevant machines. The definition of 'Capital Goods' includes, components, spares and accessories of such capital goods. Accordingly, applying the "User Test" to the facts in hand, we have no hesitation in holding that the structural items used in the fabrication of support structures would fall within the ambit of 'Capital Goods' as contemplated under Rule 2(a) of the Cenvat Credit Rules, hence will be entitled to the Cenvat credit. 15. The said ruling of Tribunal was affirmed by the Hon'ble Chhattisgarh in Commissioner of CUS., C. EX & S.T., Bilaspur....
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....r to 7.7.2009 has been examined by the Hon'ble Gujarat High Court in the case of Mudra Port (supra).It was held that exclusion brought in by the amendment cannot be given retrospective effect. The Hon'ble Madras High Court in Thiru Arooran Sugars - 2015-TIOL-1734-HC MAD-CX. 18. The Appellant further relies on the decision of the Hon'ble Apex Court in the case of CCE, Jaipur Vs Rajasthan Spinning & Weaving Mills Limited reported at [2010-TIOL-51-SC-CX], applying the user test, it was held that steel plates and MS channels used for fabrication of capital goods also comes under the ambit of definition of capital goods. In the said judgment, the Apex Court has referred to the case of CCE, Coimbatore v. Jawahar Mills Ltd. - [2001 (132....