9911796707
TMI Blog1992 (4) TMI 145X X X X Extracts X X X X X X X X Extracts X X X X ..... fication 214/86 for conversion into brass sheets and strips. Briefly, the appellants, herein, are manufacturing Flash Light Torches falling under Heading 85.13 CETA, 1985. The matter relates to the removal of waste and scrap of the brass falling under Heading 7402 under provisions of Rule 57F(2) of Central Excise Rules to job worker for conversion into brass sheets and strips falling under Heading 7404 during the period March, 1986 to February, 1987. The Collector has held in the impugned order that waste and scrap of copper arising out of input brass sheets/strips could only be removed on payment of duty because credit of duty on these inputs has been availed of by the appellants under MODVAT Rules. The Department also invoked the longer p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /84 would be applicable to copper waste wherein MODVAT Credit has been availed of. He also cited and relied upon the decision in the case of Bhor Industries v. Collector of Central Excise - 1991 (56) E.L.T. 611 (Tri.)= 1991 (37) ECR 149. It was, further, pointed out by the Ld. Counsel that the Board has given another clarification in Circular No. 29/90-CX. 3, dated 8-5-1990 wherein it has been clarified that raw-materials and component part on which MODVAT Credit has been availed of, should not be treated as non-duty paid applying the same reasoning, as was already given in an earlier clarification relating to Proforma Credit under Rule 56A. The Ld. Counsel, further, contended that the demand is time-barred because no suppression could be a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... led of, the goods in respect of which such credit has been taken, cannot be considered to be duty-paid particularly when Notification confers full exemption. The Tribunal also found that once credit of duty paid thereon is taken, the input will not lose the character of duty-paid inputs for the purpose of Notification 172/84 in the absence of any restriction in the said Notification. The Tribunal observed On going through these notifications, we cannot see how a prohibition or restriction of the aforesaid nature can be imported into Notifications 172/84 and 182/84. Any attempt to do so, in view of the provision of Rule 57F(4)(a) is, in our opinion, not permissible. According to Rule 57F(4)(a), the waste is to be removed on payment of du ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
