2014 (7) TMI 29 - AT - Central Excise

Duty demand - Fly ash - Marketability of fly ash - Held that - Merely because fly ash is marketed, it cannot be concluded that fly ash is manufactured goods . Inasmuch as the item was held to be non-excisable by the lower appellate authority relying on the decision of the Hon ble Apex Court in the case of UOI Vs. Ahmedabad Electricity Co. - 2003 (10) TMI 47 - SUPREME COURT OF INDIA , the Revenue has not made out a case for grant of stay of the order - Decided against Revenue.

Summary

The appellate tribunal dismissed the Revenue's appeal and stay petition against the order-in-appeal stating that fly ash generated in the appellant's power plant is not excisable and not dutiable. The tribunal held that fly ash is not a manufactured item based on a Supreme Court decision, therefore the demand for excise duty was not sustainable.