Tea cess cannot be levied on tea waste where it falls outside the statutory definition of tea.

Tea cess was held not leviable on tea waste because tea waste does not fall within the statutory definition of tea under Section 25 of the Tea Act, 1953. The Tribunal followed its earlier view on the scope of the definition and also noted the Board circular stating that no cess is to be collected on tea waste as so defined. The statutory levy could therefore not be extended to tea waste, and the Revenue's appeal failed, leaving the order in favour of the assessee undisturbed.

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Issues: Whether tea cess is leviable under the Tea Act, 1953 on tea waste.

Analysis: The dispute was confined to cess on tea waste, the excisability of the waste itself not being in issue. The Tribunal followed its earlier view that tea waste is not covered by the statutory definition of tea under Section 25 of the Tea Act, 1953. It also noticed the Board's circular stating that no cess is to be collected on tea waste as defined under that provision.

Conclusion: Tea cess is not leviable on tea waste, and the Revenue's appeal fails.

Final Conclusion: The statutory levy could not be extended to tea waste, so the dismissal of the Revenue's appeals left the order in favour of the assessee undisturbed.

Ratio Decidendi: Where tea waste is not included within the statutory definition of tea, cess under the Tea Act, 1953 cannot be levied on such waste.

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