TMI Blog2016 (2) TMI 149X X X X Extracts X X X X X X X X Extracts X X X X ..... have specification of non-existence of moisture in the final products for his consumption. Removal of moisture is a process which may be done by traditional method of exposure to heat by spreading the said products in the sun light or in dryers. Be that as it may, removal of moisture is a process that would render the product marketable to their customers cannot be disputed. It is also further to be noted removal of moisture from said product, appellant has to empty from the containers which was received from the job workers, and after removal of moisture, quality test repack them in new containers and label the said product as their own products, which activity falls within ambit of chapter note no. 10 of the chapter 29 and we have to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iled the said product when they received from the job worker. Show cause notice was issued which was adjudicated after following the due process of law; the demand of the duty liability with interest was confirmed and penalties were imposed. On an appeal, the first appellate authority also concurred with the adjudicating authority. 3. Learned counsel would submit that the clearances of said product was effected after enhancement of product value, the said product was not input which was cleared as such. It is his submission that the duty paid by them on the said product is on the basis of the transaction value as a final product, as the same was to be considered as the manufactured as per note no. 10 chapter no. 29, he take us through th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oduct on discharge the duty liability from the job worker, the job worker's duty liability is not question; the said product is undergoing the process of removable of moisture, checking of quality control and tests, packing and labeling; the said product is cleared by the appellant to their purchasers as their product on the transaction value by discharging Excise duty. 8. On the backdrop of the factual matrix as recorded herein above, it is to be considered whether the claim of the revenue that appellant has to reverse the CENVAT credit availed by him on said product or duty on transaction value as adopted by the appellant is sufficient compliance of the law for discharging of the Central Excise Duty. 9. The provisions of section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... product, appellant has to empty from the containers which was received from the job workers, and after removal of moisture, quality test repack them in new containers and label the said product as their own products, which activity falls within ambit of chapter note no. 10 of the chapter 29 and we have to hold that the said product is manufactured by the appellant, it can be seen that the CENVAT credit was correctly availed by the appellant, the duty liability is discharged on the transaction value is correct. To our mind the case of revenue treating the said product as removal of inputs as such, is misconceived. 12. This view is expressed by the majority decision in the case of Jindal Drugs Ltd. (supra) wherein it was held that labelin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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