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TMI Blog2007 (5) TMI 6X X X X Extracts X X X X X X X X Extracts X X X X ..... al, New Delhi (in short the 'CEGAT'). The basic question is whether the erection of Boiler at site by assembling various components and parts has brought into existence immovable property or not that is the issue involved in Civil Appeal Nos. 5391-5393 of 2002, 4100 of 2003 and 3447 of 2006. In Civil Appeal Nos. 6533-34 of 2002 the erection related to Membrane Cell Technology and Civil Appeal No. 4156 relates to solvent extraction Plant. Stand of the appellant is that the fabrication of such plants out of duty paid bought out items amounts to manufacture of a new marketable commodity and therefore excise duty is payable. 3. The CEGAT held that no excise duty is leviable and thus these plants are not subject to excisability. It accepted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rify the question of excisability of plant and machinery assembled at site. The relevant portion of the Circular reads as follows: "Government of India Ministry of Finance (Department of Revenue) Central Board of Excise Customs, New Delhi Sub: Excisability of plant and machinery assembled at site - Regarding In exercise of the power conferred under Section 37B of the Central Excise Act, 1944, the Central Board of Excise and Custom considers it necessary, for the purpose of uniformity in connection with classification of goods erected and installed at site, to issue the following instructions. 2. Attention is invited to Section 37B Order No. 53/2/98-CX, dated 2-4-98 (F. No. 154/4/98-CD. 4) [1998 (100) E.L.T. (T9)] regarding the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (b) Where processing of inputs results in a new products with a distinct commercial name, identity and use (prior to such product being assimilated in a structure which would render them as a part of immovable property), excise duty would be chargeable on such goods immediately upon their change of identity and prior to their assimilation in the structure or other immovable property. (c) Where change of identity takes place in the course of construction or erection of a structure which is an immovable property, then there would be no manufacture of "goods" involved and no levy of excise duty. (d) Integrated plants/machines. as a whole, may or may not be 'goods'. For example, plants for transportation of material (such as handling plant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... per the Central Excise Tariff. 6. Based on the above clarifications pending cases may be disposed of. Past instructions, Circulars and Orders of the Board on this issue may be considered as suitably modified. 7. Suitable Trade Notice may be issued for the information and guidance of the trade. 8. Receipt of this order may please be acknowledged. 9. Hindi version will follow." 7. These aspects were highlighted in Commissioner of Central Excise, In M/s. Virdi Brothers and Ors. [2006 (14) SCALE 115]. 8. As the basic factual aspects were not considered by the CEGAT we deem it proper to remit the matter to it for a fresh consideration in the light of the judgment in Virdi Brothers and Ors. case (supra) and Circular referred to a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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