CE- Process of tinting of duty paid base white, etc. paint with duty paid stainer to obtain paint of different shades, whether amounts to manufacture - Clarification regarding.

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..... al Board of Excise Customs, New Delhi Subject: CE- Process of tinting of duty paid base white, etc. paint with duty paid stainer to obtain paint of different shades, whether amounts to manufacture - Clarification regarding. I am directed to say that doubts have been expressed as to whether the process of tinting of duty paid base white paid base white paint with duty paid stainer to obt .....

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..... g price of the paint. 3. The Board has carefully examined the matter in consultation with the Commissioners of Central Excise. A majority of the CCEs have expressed the view that the process of tinting does not bring about any new commodity with different commercial identity as the resultant emulsion/ enamel paint in various shades obtained continue to remain as emulsion/enamel paint and hence i .....

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..... ntinue to be the same in which base white paint is cleared from the factory and no repacking is done. (iv) Duty is being discharged on the various base white paints while clearing from their plants on the assessable value based on the final selling price of the paint. 5. The Board has taken note of the judgement of Hon'ble Supreme Court in the case of Delhi Cloth and General Mills. Ltd. 1977 .....

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..... ed packaging's case, a new and different product emerges, whereas in the case under consideration on tinting of base white paint, the resultant emulsion/enamel paint in various shades continue to remain as emulsion/enamel paint and no new product with a different commercial identity emerges. 7. The Board has also taken note of Circular No. 5/92-CX.3 dated 13.7.92 wherein it has been clarified th .....

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..... f the base emulsion/ enamel paint and the stainer are duty paid then the resultant product product obtained after tinting would not attract any fresh duty liability. 10. All pending disputes/ assessments on the issue may be settled in the light of these guidelines. Sd/- (P.K. Sinha) Under Secretary to the Government of India - Circular - Trade Notice - Public Notice - Instructions .....

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