Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2018 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (7) TMI 242 - CESTAT CHENNAIFailure to take registration and payment of duty - SSI Exemption - Department was of the view that as the value of clearances from the yard exceeded ₹ 50 lakhs for the financial year 1999 – 2000, at the time of first clearance of poles by respondents, they are not eligible for SSI exemption and is liable to pay duty - Held that:- When the contractors are independent contractors and each contractor is undertaking the process of manufacture independently, merely because the yard of TNEB is used as the premises for undertaking the process of manufacture, it cannot be said that all these manufacturers are doing their activity within a factory so as to attract condition No. (vii) of para 2 of N/N. 8/1999. The show cause notice has been issued alleging that the value of clearances effected from TNEB Yard, Samayanallur exceeded the exemption limit. When each contractor has to be considered as an independent manufacturer, the demand raised against one contractor stating that clearances effected from yard including the clearances made by other contractor is exceeding the prescribed limit cannot sustain. Appeal dismissed - decided against revenue.
|