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2017 (6) TMI 214 - AT - Central ExciseManufacture - manufacture of Foots oil, Pressed Wax and Pressed Paraffin Wax classifiable under Tariff item No.27129090, 27122090 of Central Excise Tariff Act - whether the process amounts to manufacture or not? - Held that: - the Respondent imported the materials under CTH 27129090 & 27129090 amongst others and the Revenue also classified the processed material under the same tariff item. We find that the entire process undertaken by the Respondent-assessee is mainly a manual process and there is a marginal use of hydraulic pressure in the process. The imported Slack Wax, Residue Wax is in semi-solid form in drums. Foots Oil is part of Residue Wax or Slack Wax being lighter comes up on surface and siphoned by tilting the drums. The thinner Slack Wax called Foots Oil is thus separated. The pressure created by liquid through orifice for the purpose of exit is known as the hydraulic pressure. Basically, processed materials are emerging from the imported materials and the Revenue classified the processed material under the same Tariff Heading & CTH. The Hon’ble Supreme Court and the Tribunal in various decisions held that such process cannot be treated as manufacture under Section 2(f) of the CEA, 1944. The declaration before the Income Tax authorities would not determine the excisability of the goods unless it is covered under the Central Excise law. Appeal dismissed - decided against Revenue.
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