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2017 (8) TMI 310 - HC - Central ExciseLevy of duty - Molasses - whether the Assessee would be liable to pay duty on molasses, which is stored in earthen pits, i.e., Katcha pits, located within the factory premises? - Held that: - Rule 9(1) would show that it, inter alia, prohibits removal of excisable goods whether for consumption, or, export, or, even for manufacture of any other commodity either in or outside the place where they are produced, cured or manufactured or any other premises appurtenant thereto, which may be specified by the Commissioner, in this behalf, without payment of excise duty. Whether the storage of molasses in earthen pits, i.e., katcha pits, amounted to removal within the meaning of rule 9 read with rule 49? - Held that: - the molasses were not removed outside the precincts of the factory - the premises appurtenant to the place of production, curing or manufacture can only be premises, which are attached or annexed to such premises. The earthen pits, i.e., katcha pits, in this case, were not annexed to the place of production or manufacture, i.e., factory premises, as is evident from the record and, upon perusal of the impugned Show Cause Notice. The earthen pits, i.e., katcha pits were located within the factory premises. The Assesseee could not have been called upon to pay duty, merely, on account of the fact that the molasses had been stored in earthen pits, i.e., katcha pits, which are otherwise located within the factory premises - appeal allowed - decided in favor of assessee.
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