Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2016 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (2) TMI 715 - AT - Central ExciseExcise duty demand - work through job worker - Held that:- Central Excise duty is payable on manufacturing activity by the manufacturer. The manufacturing activity of the furniture at the site is by the job worker and not the appellant. The written contract between the appellant and subcontractor is not disputed by the revenue. The sub contractor is required to purchase material, procure his own labour to execute the contract given to him. If that be so, the manufacturing of furniture comes in to existence at the site, in the hands of the job worker. The judgement of the Tribunal in the case of Raymond Ltd. (2014 (12) TMI 947 - CESTAT NEW DELHI) is applicable in this case. Secondly, we find that appellant has given back-to-back contract to the subcontractor by a written agreement, a fact which was not on records in the appellant's own case in an earlier issue wherein the same allegations were levelled against the appellant. This factual difference in the case in hand was not considered by the adjudicating authority while deciding the issue. Thus we hold that the impugned order is incorrect and unsustainable - Decided in favour of assessee
|