https://www.taxtmi.com/caselaws?id=124996 Scrap arising from worn-out or dismantled capital goods and inputs is not treated as a manufactured product unless a new and distinct commodity emerges from a manufacturing process. Mere wear and tear or dismantling does not amount to manufacture, so such scrap is not exigible to central excise duty. On that basis, the related liability to interest and penalty is also unsustainable where the underlying duty demand fails. en-us Thu, 16 Oct 2008 00:00:00 +0530 Wed, 17 Oct 2012 18:43:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=124996 Scrap arising from worn-out or dismantled capital goods and inputs is not treated as a manufactured product unless a new and distinct commodity emerges from a manufacturing process. Mere wear and tear or dismantling does not amount to manufacture, so such scrap is not exigible to central excise duty. On that basis, the related liability to interest and penalty is also unsustainable where the underlying duty demand fails. Case-Laws Central Excise Thu, 16 Oct 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=124996