Capital Goods [Rule 2 (a)]: “Capital goods” means:
(A) The following goods, namely :
(i) All goods falling under
 Chapter 82 i.e. tools, implements, spoons and forks of base metal
and parts there of base metal ;
 Chapter 84 i.e. machinery & mechanical appliances & their parts;
 Chapter 85 i.e. electrical & electronic machinery and equipments;
 Chapter 90 i.e. optical, photographic and surgical equipments;
 Heading No. 6805 of the First Schedule to the Excise Tariff Act i.e.
natural or artificial abrasive powder on a base of textile material; &
 Sub-heading No. 6804 of the First Schedule to the Excise Tariff Act
i.e. grinding wheels and the like.
(ii) Pollution control equipment;
(iii) Components, spares and accessories of the goods specified at (i) & (ii);
(iv) Moulds and dies, jigs and fixtures;
(v) refractories and refractory materials;

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(vi) tubes and pipes and fittings thereof; and
(vii) storage tank,
Used in the factory of the manufacturer of the final products, but does not
include any equipment or appliance used in an office; or for providing
output service;
(B) motor vehicle registered in the name of provider of output service for
providing following taxable services viz. courier; tour operator; rent-a-cab
operator; cargo handling; goods transport; outdoor caterer and pandal or
shamiana.

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