9911796707
TMI Blog2009 (11) TMI 391X X X X Extracts X X X X X X X X Extracts X X X X ..... sifiable under Chapter sub-heading No. 7205.90. The disputed goods have arisen out of capital goods on which Cenvat credit was not taken by them. Therefore, the question of treating them as waste and scrap arisen during the course of manufacture does not arise. Held that- impugned items not to be treated as generated during course of manufacture. Note 8(a) of Section XV of central Excise Tariff no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rent in terms of its characteristics and usages and therefore classifiable under Chapter sub-heading No. 7205.90. The Note No. 8(a) of Section-XV of Central Excise Tariff Act was also relied upon to allege that the said products have arisen during the course of manufacture. 4. The show cause notice clearly recorded the submission of Shri T.C. Sharma, Law Officer that the scrap generated was out ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d maintenance, old machinery, which were not useable any further and the scrap generated during the course of dismantling was sold. The disputed goods have arisen out of capital goods on which Cenvat credit was not taken by them. Therefore, the question of treating them as waste and scrap arisen during the course of manufacture does not arise. He relies on the decision of the Tribunal in the case ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion and (iii) M.S. Turnings that generated during manufacture of machinery items, captively consumed. He submits that the irrespective of waste or scrap, they also availed Modvat credit, the duty is payable as goods manufactured and the waste and scrap shall fall under Tariff Heading No. 72.04. 7. We have carefully considered the submissions from both the sides and perused the records. The show ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lied upon by the Department has no relevancy to such operations of dismantling of old and used machinery. 9. In view of the above, we are in agreement with the view of the ld. Advocate that the case is covered by the decision of the Tribunal in the case of Birla Corporation Ltd. cited supra. 10. The impugned orders are set aside and the appeal is allowed with consequential relief as per law. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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