2016 (6) TMI 1098 - AT - Central Excise

Excise duty on bagasse and pressmud - payment of 5% or 10% of the value of exempted goods, i.e., bagasse and pressmud cleared by the appellant - Held that - The issue is no more res integra as the bagasse and pressmud arising during the course of manufacturing of sugar. The Hon ble Supreme Court in the case of UOI Vs DSCL Sugar Ltd., (2015 (10) TMI 566 - SUPREME COURT ) has held that bagasse and pressmud is a non-excisable products. Thus as the bagasse and pressmud are non-excisable, the question of reversing 5% or 10% of the value of goods does not arise as the common inputs not used in the manufacturing of waste. - Decided in favour of assessee

Summary

The appellate tribunal ruled in favor of the appellant regarding the payment of 5% or 10% on exempted goods bagasse and pressmud. The tribunal cited a Supreme Court decision stating that bagasse and pressmud are non-excisable products, thus no reversal of amount is required. The impugned order was set aside, and the appeal was allowed.