Judgment
1. In this appeal, filed by the Revenue, the issue relates to the eligibility of CENVAT Credit in respect of parts of moulds and parts of V.C.R.2. I heard Shri P.M. Rao, learned DR and Shri B.L. Narasimhan, learned Advocate. Respondents, M/s. Super Casettes Industries manufacture audio cassettees and video cassettes and avail of the CENVAT Credit of the duty paid on inputs and capital goods. The plea of the Department is that the CENVAT Credit of the duty is available only in respect of those capital goods which are specified in Table below Rule 57Q of the Central Excise Rules, 1944: that Serial No. 1 to 4 of the Table specifies all goods to be capital goods on the basis of headings and subheadings of the Central Excise Tariff. Serial No. 5 mentions that components, spares and accessories of the goods specified at Serial No.1 to 4 will also be capital goods; that moulds have been specified at Serial No. 6 specifically and as such the parts thereof will not be eligible for CENVAT Credit. On the other hand, the contention of the learned Advocate is that moulds are classifiable under Heading 84.80 of the Central Excise Tariff which is specified in the Table below Rule 57Q and as such moulds also fall within Serial No. 1 to 4 of the Tariff and parts thereof are eligible for CENVAT Credit.3. I have considered the submissions of both the sides. Heading 84.80 applies to "moulds for metal (other than ingot moulds"). There is nothing on record to indicate as to whether the moulds of which parts are in question, are the moulds for metal other than ingot moulds. The matter is, therefore, to go back to the jurisdictional Adjudicating Authority to ascertain the fact as to whether the moulds of which of which part has been brought into the factory and credit is being taken are the moulds for metal other than ingot moulds. In case the moulds are covered by Heading 84.80 of the Central Excise Tariff, the Cenvat Credit will be available to the respondents in respect of parts of such moulds for the reason that Heading 84.80 has not been excluded from Serial No. 2 of the Table below Rule 57Q. The respondents have to lead the evidence in this regard before the Adjudicating Authority.
4. In respect of CENVAT Credit on parts of V.C.R., the learned DR has rightly contended that as V.C.R. is not one of the specified Headings in the Table below Rule 57Q, the parts thereof will not be eligible capital goods for the purpose of availing the CENVAT Credit. There is no substance in the submissions of the learned Advocate that Sub-rule (2) of Rule 57B of the CentraL Excise Rules, 1944, at the relevant time, did not exclude the parts of machines, machinery, etc. and as the parts of V.C.R. are used in or in relation to the manufacture of final product, CENVAT Credit is available. The said Sub-rule (2) excludes machine, machinery, etc. as defined in Rule 57Q. Rule 57Q does not specify V.C.R. as one of the machinery eligible for CENVAT Credit and in view of this the parts thereof will also not be eligible capital goods. I, therefore, allow the appeal filed by the Revenue in this regard. The appeal, filed by the Revenue is disposed of in these terms.