Modvat - Turnings and borings arising during manufacture of aluminium pistons out of aluminium ingots cannot be permitted to be removed under Rule 57F(2) without payment of duty
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Removal under Rule 57F(2): turnings and borings from piston manufacture require duty payment; duty-free removal prohibited. Turnings and borings arising during manufacture of aluminium pistons out of duty-paid aluminium ingots cannot be removed under Rule 57F(2) without payment of duty because they are neither inputs as such nor partially processed inputs. Ingots produced from these residues are chargeable to duty, though duty paid on such ingots may be used as credit for pistons. The practice of permitting duty-free removal must cease and recovery action taken where duty has not been paid.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Removal under Rule 57F(2): turnings and borings from piston manufacture require duty payment; duty-free removal prohibited.
Turnings and borings arising during manufacture of aluminium pistons out of duty-paid aluminium ingots cannot be removed under Rule 57F(2) without payment of duty because they are neither inputs as such nor partially processed inputs. Ingots produced from these residues are chargeable to duty, though duty paid on such ingots may be used as credit for pistons. The practice of permitting duty-free removal must cease and recovery action taken where duty has not been paid.
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