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TMI Blog1987 (2) TMI 74X X X X Extracts X X X X X X X X Extracts X X X X ..... d by Notification No. 25/79-C.E., dated 1-3-1979 and Notification No. 109/80-C.E., dated 19-6-1980 passing such other orders as may be deemed fit." 2. The petitioner manufactures polyethelene sandwitch board with the aid of power. Normally this product would attract Item 17(2) of the Excise Tariff set out in the First Schedule to the Central Excises and Salt Act, 1944, hereinafter referred to as the Act. The three notifications referred to in the prayer in the Writ Petition by themselves do not enable the Authorities to levy the excise duty on the polyethelene sandwitch board The Notification merely specify the limit of exemption. According to the petitioner, no duty at all is leviable on polyethelene sandwitch board. For this stand, what ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d counsel for the petitioner, would place reliance on a number of pronouncement of this Court, including one of Padmanabhan, J. There is no need to labour over the legal concept of 'manufacture' under the Act because the law has been fairly well settled by the latest pronouncement of the Supreme Court in Empire Industries Ltd. v. Union of India and others [1985 (20) E.L.T. 179] where it was observed as follows :- "It may be noted that the taxable event in the context of Sales Tax Law, is 'sale'. The taxable event under the Excise Law is 'Manufacture'. The moment there is transformation into a new commodity commercially known as a distinct and separate commodity having its own character, used and name, whether be it the result of one proce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... completed, the definition clause in Section 2(f) stands enacted, first generally setting out that it will include any process, incidental or ancillary, to the completion of a manufactured product, and further expatiating the relevant processes with regard to specified goods. The state of completion of a manufacture of an excisable goods cannot be stated to have been reached until the processes incidental or ancillary have also been completed. Ultimately, it will to a very great extent depend upon as to what is known to the consumer and the commercial commodity, as the product which they want to utilise and consume for the specified purpose. Commonly, manufacture is the end result of one or more processes through which the original commodit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cess or have been several processes. As clarified by the Supreme Court in Empire Industries Ltd. and others v- Union of India and others [1985 (20) E.L.T. 179], it is the transformation of a matter into something else and that something else is a question of degree. The amplitude and magnitude of the operation is not of much significance. It is the effect of the operation on the commodity that is material for the purpose of determining whether the operation constitutes such a process which will be part of manufacture process or processes making the commodity to have a distinctive character or use would amount to manufacture." 5. Coming to the facts of the present case, there are admittedly three ingredients which go to make the ultimate o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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