9911796707
TMI Blog2006 (2) TMI 409X X X X Extracts X X X X X X X X Extracts X X X X ..... nufactured the goods on job work basis to M/s. DUMED Labs under Loan Licensee. The appellants were sending all the raw materials to their loan licensee and to their job worker for getting the P or P Medicines. After the tablets were manufactured by the loan licensee, it was returned to the appellants who were packing and re-labelling the same and clearing it in the market. They claim the benefit of Notification No. 83/94 and 84/94 CE both dated 11-4-1994 which grants benefit from levy of duty in respect of goods manufactured on job work basis. The ground on which the benefit has been denied is that the appellant had not taken out license and had not declared the same to the Department. It is the contention of the appellant that in terms of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Medicines. They got manufactured through their loan licensee and job workers also. The Notification in question grants benefit to the SSI units in terms of the conditions laid down therein. The appellants having been charged for not being registered as a factory, we are not agreeable on this point. So long as the appellants have carried out the activity of labelling and re-labelling in terms of Chapter Notes V under Chapter Heading 30, they are deemed to be treated as manufacturers. They have cleared the goods after re-labelling and as the clearances were within the exemption limit, hence, the benefit of notification in question cannot be denied. It is not the case of the Department that they have exceeded the clearance value. The only gro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rances made on their own brand name as per the exemption limit applicable under the notifications referred. They have not included the value of the clearances made for their loan licensee, who were eligible for the benefit of Notification No. 83/94 and 84/94 CE dated 11-4-1994. The exemption to the loan licensee has been denied on the ground that they did not have their own equipment and hence the benefit of job work is required to be denied. It is a fact that job work envisage further processing of goods at the hands of the persons sending the goods on job worker and even that requirement is met since the process like labelling, retail and wholesale packing are in fact taking place at the premises by M/s. DUMED labs, Kakinada only. The tab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as job worker on behalf of M/s. DUMED is not required to be added in the assessable value. M/s. DUMED Labs is not required to take any Central Excise registration, as their value of clearances are within the exemption limit of value of clearances of small scale unit. Hence, the finding of the Commissioner holding that the appellants are liable for payment of duty and penalty of equal sum is not sustainable. The same is set aside by allowing the appeal. E/916/2004 4. The Revenue is aggrieved with the Commissioner s finding for grant of the benefit of the Notifications in question. As we have held that the benefit of Notification is eligible, the Revenue s appeal is not sustainable and the same is dismissed. (Operative portion of this ..... X X X X Extracts X X X X X X X X Extracts X X X X
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