TMI Blog2018 (9) TMI 1913X X X X Extracts X X X X X X X X Extracts X X X X ..... s involuntarily during the process of manufacture of the final product. Since bagasse and press mud removed from the factory are excisable goods, classified under Chapter 23 of the Tariff Act, the circular dated 25.04.2016 relied upon by revenue cannot sustain the demand in as much as explanation 1 appended to Rule 6 ibid only clarified that the final product defined in clauses (d) and (h) of rule 2 shall include non-excisable goods cleared for consideration from the factory - Since the disputed goods are admittedly excisable, the case of the respondent is not covered under the explanation appended to Rule 6 of the rules. There is no infirmity in the impugned order passed by the learned Commissioner (Appeals) - appeal dismissed - dec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , the learned Commissioner (Appeals) vide the impugned order has allowed the appeal in favour of the respondent herein, holding that Bagasse and Press-mud are non-excisable goods and accordingly, the respondent herein is not liable to pay the amount under Rule 6 ibid. 3. Revenue has contended that since the period of dispute is from March 2015 to June, 2017, the case of the respondent is covered under the provisions of amended Rule 6 ibid, where under an explanation was added, to the effect that exempted goods or final products as defined in clause (d) and (h) of rule 2shall include non-excisable goods cleared for a consideration from the factory . Revenue has also relied upon the circular dated 25/04/2016 issued by the CBE ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... A/89563- 89568/17/SMB dated 04/08/2017 has held that bagasse and press mud should not be subjected to payment of amount in terms of Rule 6 ibid, when cleared from the factory. The said order was passed by the Tribunal under post amended Rule 6 ibid, effective from 01.03.2015. Since bagasse and press mud removed from the factory are excisable goods, classified under Chapter 23 of the Tariff Act, the circular dated 25.04.2016 relied upon by revenue cannot sustain the demand in as much as explanation 1 appended to Rule 6ibid only clarified that the final product defined in clauses (d) and (h) of rule 2 shall include non-excisable goods cleared for consideration from the factory. Since the disputed goods are admittedly excisable, the case of th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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