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2018 (1) TMI 1734 - AT - Central ExciseProcess amounting to manufacture or not (deemed manufacture) - after receiving the bottles of the medicines in the packets, appellant just affix the hologram & bar code to avoid duplicity and put in an outer cover box to ensure safe transportation - HELD THAT:- The purpose of “deeming” processes such packing, re-packing, labeling, relabeling etc. to be processes amounting to manufacture is to capture the value addition. In the instant case, there is admittedly “no value-addition”. The goods are sold either at or below the MRP to the consumer. More importantly, the goods when received by the vendor are already in a pre-packed form, bear the necessary declarations including the MRP as prescribed by the provisions of the Legal Metrology Act and have already been subjected to excise duty on the basis of value determined under Section 4A i.e. the Retail Sale Price less abatement. The vendor neither re-labels nor alters the retail pack or the declarations affixed therein. Under these circumstances, the activity undertaken in the instant case merely consists of transferring pre-packed duty paid retail goods into another packing. Thus, it is clarified that in such cases excise duty would not be attracted on the operations or processes carried out by the vendor. There are no reason to sustain with the impugned order and the same is hereby set aside - the appeals filed by the assessee-Appellants are allowed.
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