No tariff entry for waste products means no excise duty on waste from used capital goods during the relevant period.

Waste arising from used fire bricks, silicon carbide, waste oil and old filter cloth was held not liable to central excise duty where no tariff entry covered those waste products during the relevant period. The decisive legal point was that excise cannot be levied on a waste item merely because it emerges from capital goods or materials used in manufacture; a specific tariff entry is required. On that basis, the demand was unsustainable and the waste was treated as the charging scope for that period.

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Issues: Whether waste arising from fire bricks, silicon carbide, waste oil and old used filter cloth was liable to central excise duty in the absence of a tariff entry during the relevant period.

Analysis: The appellants had availed credit on fire bricks and silicon carbide as capital goods used in manufacture, and the waste emerged on use in the manufacturing process. The decisive factor was that, during the relevant period, there was no tariff entry covering waste of silicon carbide, fire bricks, filter cloth or oil. In the absence of a tariff entry, the waste could not be subjected to duty merely because the original items had been used as capital goods.

Conclusion: The waste was not liable to duty, and the demand could not be sustained.

Final Conclusion: The impugned order was set aside and the appeals succeeded.

Ratio Decidendi: In the absence of a specific tariff entry covering a waste product, duty cannot be levied on that waste merely because it arises from used capital goods.

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