Gujarat High Court
The Commissioner Of Central Excise & ... vs N.R. Agarwal Industries Ltd. (Unit Ii) ... on 19 March, 2009
Author: K.S.Radhakrishnan
Bench: K.S.Radhakrishnan
TAXAP/17120/2008 1/1 ORDER
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
TAX APPEAL No. 171 of 2008
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THE COMMISSIONER OF CENTRAL EXCISE & CUSTOMS Appellant(s)
Versus
N.R. AGARWAL INDUSTRIES LTD. (UNIT II) Opponent(s)
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Appearance :
MR RJ OZA for Appellant(s) : 1,
None for Opponent(s) : 1,
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CORAM : HONOURABLE THE CHIEF JUSTICE MR. K.S.RADHAKRISHNAN
HONOURABLE MR.JUSTICE AKIL KURESHI
Date : 19/03/2009
ORAL ORDER
(Per : HONOURABLE THE CHIEF JUSTICE MR. K.S.RADHAKRISHNAN) Heard learned counsel for the appellant. Admit.
Issue notice to the respondent on the following substantial questions of law:
"A. Whether in the facts and circumstances of the present case, the Tribunal is justified in interpreting the definition of capital goods under rule 22(b) of the Cenvat Credit Rules, 2002 so as to cover the goods not directly used in the manufacture of paper products in case of a paper industry?
B. Whether in the facts and circumstances of the present case, the Tribunal is justified in allowing the appeal filed by the respondent by placing reliance on the decision of the tribunal rendered in the case of Southern Iron & Steel Company Ltd. Vs. CCE Trichi, reported in 2006 (204) ELT 275 (TriChennai) on the ground that these goods are ultimately used in setting up power plant within the factory of the respondent and therefore, could be treated as capital goods?
C. Whether in the facts and circumstances fo the present case, the Tribunal is justified in permitting cenvat credit to be availed of and utilized on the capital goods such as H.R. Sheets, plates and coils, welding electrodes, channels, beams, angles emitting electrodes etc., as spares, components of power plant installed in the factory though the respondent does not establish that these goods are used as spares and accessories"
(K.S. RADHAKRISHNAN, C.J.) (AKIL KURESHI, J.) [sn devu] pps