2015 (5) TMI 630 - SCH - Central Excise

Classification of goods - Held that - goods in question, viz., manufacturing yarn out of synthetic waste, rags, silk waste and wool waste are subject to levy of excise duty under entry 5509.90 - Tribunal has reduced the amount of demand of ₹ 26,35,780/- as contained in the order of the Commissioner to ₹ 7,28,540/- on the ground that the period prior to 26.5.1995 could not be taken into consideration. The Tribunal has given valid reasons for this conclusion - Decided against Revenue.

Summary

The Supreme Court upheld the levy of excise duty on manufacturing yarn from waste materials and dismissed the appeals of both the assessee and the Revenue. The Tribunal's decision to reduce the demand amount was also upheld.