Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2014 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (6) TMI 856 - AT - Central ExciseWaiver of pre deposit of duty - manufacture - marketability - whether various processes/activities involved in placing the rechargeable battery and battery charger in blister pack by the Applicant would result into manufacture of an excisable goods within the meaning of Section 2(f) of CEA, 1944. - Penalty u/s 11AC - clandestine manufacture and removal of excisable goods - Held that:- Prima facie analysis of the facts disclose that the principal activity/processes carried out by the applicant are in the nature of packing and branding and at this stage it is difficult to say that such processes would fall under the scope of the definition of manufacture in absence of a Chapter Note or Section Note. The judgments cited by the Ld. Special Counsel on the relevance of marketability in ascertaining whether the present resultant product after packing becomes an excisable product or otherwise, in our opinion, are out of place. In the said judgments the issue involved was whether an intermediate product emerges during the course of manufacture of final products be dutiable, thus necessitating the test of the product's marketability. The judgment of Flex Engg's case [2012 (1) TMI 17 - Supreme Court of India] is also not relevant to the facts in hand as in the said case the issue was whether CENVAT Credit would be admissible in the premises of the assessee on the machines, as the process of testing carried out in the said premises be called as a process of manufacture. Besides, applicant had discharged the service tax on the said process with effect from July, 2010, and they exercised their option under Voluntary Compliance Encouragement Scheme, 2013 (VCES) for the period from October, 2007 to June, 2010. In these premises, we are of the view that the Applicant could able to make out a prima facie case for total waiver of pre deposit of dues adjudged, accordingly, all dues adjudged is waived and its recovery stayed during the pendency of the appeal - Stay granted.
|