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TMI Blog2019 (1) TMI 2021X X X X Extracts X X X X X X X X Extracts X X X X ..... anufactured good and hence not excisable good at all. Hence, no duty is liable to be paid for WPL. It is evident that WPL is not an excisable good and is only a waste generated during the manufacture of another product. In the instant matter also WPL emerges during the pickling process whereby hot rolled coils are passed through the hydrochloric acid bath/tank to remove the scales formed on the surface of such hot rolled coils. The Revenue sought to recover the amount of Rs.1,215/- from the Appellants since according to them 50% of sale proceeds received by the appellant from Indrox by way of credit note is the additional consideration received in terms of Rule 6 of Valuation Rules, 2000. After going through Rule 6 ibid, for the purpose of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... c acid tank. Waste Pickle Liquid (WPL) is generated during the process at various steel plants of the appellants at the time of removal of impurities/rust from the coil. The Appellants used to clear WPL to independent buyers on payment of duty on the value determined on the basis of the price at which the appellants had sold the WPL to the independent buyers and the said price was Re.1 per ton. The appellants entered into processing agreement dated 28.4.2000 with M/s. Indrox Global Pvt. Ltd. (in short "Indrox") for the regeneration of hydrochloric acid from the aforesaid WPL. As per the agreement, the WPL is cleared by the appellants to Indrox on payment of excise duty on the assessable value of WPL @ Re.1/- per ton, who process the same at ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s WPL? Is it a waste or some manufactured product? According to learned counsel, the rust and impurities on the coils are simply removed by way of application of hydrochloric acid on the coil. This process of application of hydrochloric acid on the coil is called pickling process. After undertaking the pickling process the mixture of hydrochloric acid and the impurities and rust, is termed as WPL. Such WPL is nothing but waste which is not emerging by the process which amounts to manufacture. Therefore, WPL is not a manufactured good and hence not excisable good at all. Hence, no duty is liable to be paid for WPL. In support of his submission learned counsel relied upon the decision of the co-ordinate Bench of the Tribunal in the matter of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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