2001 (2) TMI 675

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... the Respondent. [Order per : V.K. Agrawal, Member (T)]. - The issue involved in this appeal filed by M/s. VST Industries Ltd. is whether the set off of the duty paid on cut tobacco is to be limited to the quantity of cut tobacco used in the cigarettes cleared on payment of duty or on the entire quantity of cut tobacco cleared for manufacture of cigarettes out of which some cigarettes have been .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... tment cannot take a different stand as has been held by the Supreme Court in many decisions such as Ranadey Micro Nutrients. 3. Opposing the appeal, Shri S. Kannan, ld. DR, submitted that the Board's instructions do not apply as the issue involved is not waste contained in the cut tobacco but the cut tobacco contained in the cigarettes on which duty is being paid. He also referred to the cro .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ue that the cut tobacco had been cleared for manufacture of cigarettes and during the process of manufacture, some quantity of cigarettes because of being oily have been taken apart for being destroyed. The Board's Circular dated 6-7-1990 is very explicit in clarifying that the set off will be available on the quantity of cut tobacco which has been issued for the manufacture of cigarettes. In this .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X