2014 (1) TMI 155 - AT - Central Excise

Waiver of pre-deposit - Liability to discharge 5% of the value of the Press Mud which is cleared without payment of duty - Held that - manufacturer of sugar and during the course of manufacturing of sugar, a waste product namely Press Mud and Waste Water arises which is cleared by the appellant as non-excisable product. It is the case of the Revenue that appellant has used common input services without maintaining separate accounts and hence the appellant is liable to discharge 5% of the value of the Press Mud which is cleared without payment of duty - appellant has made out a prima facie case for the waiver of pre-deposit of the amounts involved. Application for the waiver of pre-deposit of the amounts involved is allowed and recovery thereof stayed till the disposal of appeal - Following decision of Manakpur Chini Mills 2012 (7) TMI 474 - CESTAT, NEW DELHI - Stay granted.

Summary

The appellate tribunal in CESTAT Ahmedabad allowed the application for waiver of pre-deposit of 5% of the value of exempted products cleared by the appellant, related to the clearance of 'Press Mud and Waste Water' as a non-excisable product during sugar manufacturing. The decision was influenced by previous rulings in similar cases. Recovery of the amounts involved was stayed until the appeal's disposal.