9911796707
TMI Blog2013 (6) TMI 175X X X X Extracts X X X X X X X X Extracts X X X X ..... ate Electricity Board. The petitioner transferred the job of fabrication of steel structures to M/s. Amarnath Aggarwal Construction (P) Limited, Panchkula - the contractor. The petitioner-company also provided steel, trusses, angles, channels and other raw material to the contractor. The contractor fabricated the structure in accordance with the drawings of the petitioner-company under their supervision at the site and the inspection was carried by the Site Engineer of the petitioner-company. The Central Excise Preventive Staff Patiala, visited the project site of the petitioner and issued a show cause notice dated 13-9-1990, Annexure P.3 to the petitioner-company as to why excise duty amounting to Rs. 12,72,619.60 not paid on the steel str ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , the Government of India had issued a Notification No. 61/90-C.E. dated 20-3-1990 (Annexure P.7) in exercise of powers conferred under Section 5A(1) of the 1944 Act whereby goods falling under Heading 73.08 of the Schedule to the Central Excise Tariff Act, 1985 (in short, "the 1985 Act") had been exempted which were fabricated at the site of construction work for use in such construction work from the whole of the duty of excise leviable thereon. 4. No one has appeared on behalf of the respondent to oppose the prayer made. 5. In the written statement, the claim of the petitioner has been controverted. The defence taken in the written statement is that the activity of the petitioner was covered under manufacture and excise duty was leviab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ob on job charge basis. The fabrication was carried out by the contractor at site under the supervision of Site Manager (Erection) of the petitioner-company. The job work undertaken by the contractor does not fit in the term "manufacture" which is normally associated with movables, i.e. articles and goods and is never connected with the fabrication of the structure embedded in earth. There has, thus, not been any manufacture or production at the site except fabrication carried out by the contractor. In other words, the petitioner- company is not manufacturing any item and is not covered under Section 2(f) of 1944 Act which defines 'manufacture'. Therefore, no excise duty is leviable under Section 3 of the 1944 Act. 10. The aforesaid interp ..... X X X X Extracts X X X X X X X X Extracts X X X X
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