9911796707
TMI Blog1986 (2) TMI 63X X X X Extracts X X X X X X X X Extracts X X X X ..... nd re-processed the same in his own factory at Salkia into cold rolled strips of different length and gauges through rolling machine and sold the same to his customers. According to" the petitioner the said cold rolled strips purchased by the petitioner from the market were duty paid. It is the case of the petitioner that the re-rolling or reprocessing of the said cold rolled strips is not manufacture but only processing. The petitioner duly submitted monthly returns of production in Form No. R.T. 12 in accordance with Rule 173G of the Central Excise Rules, 1944. The Superintendent, Central Excise, Assessment Group No.II Calcutta-V Division in his assessment orders held that the petitioner could not prove that the said goods purchased from ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 3 of the Central Excises & Salt Act. The job done by the petitioner is not manufacture in terms of Section 2(f) of the said Act. According to the petitioner those who manufactured cold rolled strips removed the said goods upon payment of Central Excise Duty under Rules 7, 9 and 173(a) of the Central Excise Rules. Therefore the manufacturers of the cold rolled strips paid the duty on the said goods. Otherwise the said goods could not come to the market for being sold to the buyers like the petitioner. Because the petitioner re-rolled the cold rolled strips with the help of rolling machine, it cannot come within the purview of the 'manufacturer'. He has relied on certain notification and/or circular in support of his contention. 4. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . 5. It has not been disputed that the Cold Rolled Strip had been purchased by the petitioner from the market. The documents in support of the purchase have also been produced before the assessing Officer. The said goods purchased by the petitioner were produced and manufactured by Indian Tube Co. Ltd., J.K. Steel & Industries Ltd. and Hindustan Steel Ltd. The assessing officer has cast burden upon the petitioner, to prove that the said cold rolled strips purchased by him from the market were duty paid. This in my view is an onerous burden upon the purchaser which he could not discharge. On the contrary, the assessing officer could have found out from the sellers of those materials whether the duty had been paid by the manufacturer or not. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... isable goods. The Government had occasion to consider a similar question in a Revision Application. The order of the Government dated 26th November, 1967 is in the following terms: "Government of India have considered the points raised in the revision application, those urged during the course of personal hearing and have examined the records of the case. Government observed that cold rolled strips were produced by the process of reduction of the same having wider dimension. Government thus find that as strips remain as strips even after reducing the dimension, it cannot be said that a new product has been manufactured for purpose of Central Excise levy. Government accordingly allow the revision application." 7. The rerolling or reproce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty was realised from the respondent on those steel ingots. The respondent claimed a set-off of duty to the extent of duty paid on pig iron being the re-melted scrap used in the manufacture of steel ingots. This claim for exemption was based on Notification No. 38/60 D/1-3-1960 issued in terms of Rule 8(1) of Central Excise Rules, 1944, exempting steel ingots in which duty-paid pig iron was used. The Revenue Authorities rejected the claim of the respondent on the ground that exemption was given for virgin pig iron and the pig iron, for which exemption was claimed, was mixed with non-duty paid pig iron. The Supreme Court held that contention of the Revenue must fail on two broad grounds. First, there could not be double taxation on the same a ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
