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TMI Blog1983 (4) TMI 260X X X X Extracts X X X X X X X X Extracts X X X X ..... ss barrels of torches were classifiable as brass pipes and tubes under Item 26A of the Central Excise Tariff during the period from 1-4-1971 to 31-1-1972 or not. The appellants showed a sample of the brass barrel in question and stated that these goods were manufactured by the appellants for captive consumption, that they were in unfinished condition, were not at all marketed by them and were, in fact, not marketable and hence they were not goods so as to attract the levy of central excise duty. They added that these brass barrels were commercially not known as pipes and tubes nor did they perform any of the accepted functions of pipes and tubes, namely, conveying of gas or fluid. They relied on AIR 1976 S.C. 800 and AIR 1977 S.C. 597 in ge ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the cost of manufacture to arrive at the assessable value of captive consumption goods under the old Section 4 of the Central Excises and Salt Act, 1944 when the Valuation Rules, 1975 were not yet in force. Adding of profit in their case was bad in law on the further ground that the Assistant Collector had made an arbitrary addition of 5 per cent as per instructions and without assigning any reasons or giving any data. Secondly, they requested that for giving set off of the duty already paid under exemption Notification No. 213/63-C.E., full weight of brass sheets taken for use in the manufacture of the subject brass barrels should be taken into account and not the net weight contained in the barrels. In other words, their prayer was tha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tc. and stated that the function of conveyance of gas, water, vapour etc. was not a must since even conduits used for electric wiring were also known as pipes and tubes. According to him, since the subject barrels had a hollow cylinderical shape, they were classifiable as pipes and tubes. 6. We have given our earnest consideration to the matter. Whether a pipe or tube is used for conveyance of gas, water, vapour etc. or as a conduit for electric wiring, it must possess the property of being open at both ends; otherwise, it would be just a container. The sample shown to us during the hearing was closed at one end, obviously so because otherwise it would not be able to hold the battery cells placed inside the barrel. Such a barrel closed a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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