TMI Blog2010 (11) TMI 3X X X X Extracts X X X X X X X X Extracts X X X X ..... and vice versa - Whether a process would amount to manufacture within the meaning of section 2 (f) has to be seen independently - It is a settled law that when a definition from an Act is transposed into another Act, it is as if the said definition is physically written into the borrowing Act without any reference to the context of such definition in the Act from which it is being borrowed. It is the words of that definition, which is imported into the borrowing Act and not the scope of the first Act and the context in which such definition is used in the first Act.- it was decided that if the CBU undertakes complete process of manufacture of alcoholic beverage under the contract bottling arrangement as described above then such activity w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... xiliary service means any service in relation to (i) ii (iii) (v) production or processing of goods for, or, on behalf of, the client; (vi) (vii) . and includes . but does not include any information technology service and any activity that amounts manufacture within the meaning of clause (f) of Section 2 of the Central Excise Act 1944. 2. According to the assessee, the assessee was undertaking the job work of manufacturing alcohol-based perfumes and pharmaceutical products for various input suppliers. According to them, this activity stood excluded from the purview of business auxiliary service inasmuch as it amounts to manufacture within Section 2 (f) of Central Excise Act. Learned Counsel submits that this legal position is squar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iness Auxiliary Service (BAS). However, the matter was re-examined in detail by the Board after receipt of the responses and it has now been concluded that the exclusion would be applicable in the instant case for the following reasons. (a) Plain reading of Section 3 of the Central Excise Act, 1944 shows that for levy and collection of central excise duty, the following conditions must be satisfied, * The process undertaken must amount to manufacture as defined under section 2 (f); and * The result of such process should be emergence of excisable goods, which as per section 2 (d) are the goods specified in the First and the Second schedule of the Central Excise Tariff Act, 1985 as being subjected to duty of excise. Therefore, manufa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cally written into the borrowing Act without any reference to the context of such definition in the Act from which it is being borrowed. It is the words of that definition, which is imported into the borrowing Act and not the scope of the first Act and the context in which such definition is used in the first Act. Admittedly the scope of the two Acts would be distinct and if the definition is borrowed from the first Act into the second Act having different scope, the same would get disturbed/distorted if the context and scope of the earlier Act is also imported. Thus just because Central Excise Act does not extend to the manufacture or production of alcoholic beverages meant for human consumption, it cannot be said that the term manufacture ..... X X X X Extracts X X X X X X X X Extracts X X X X
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