https://www.taxtmi.com/caselaws?id=202740 Waste and scrap generated and sold at a job worker's premises cannot be subjected to central excise duty in the hands of the principal manufacturer, because duty under the Central Excise Act attaches to the person who manufactures the scrap. The job-work rule requires return of inputs or capital goods, and any non-receipt consequence is reversal of CENVAT credit, not fastening excise liability on the principal for scrap made by the job worker. The Tribunal followed the earlier view, affirmed by the High Court, that such scrap is not dutiable in the principal manufacturer's hands, so the duty demand, interest, and penalty were set aside. en-us Thu, 06 Jan 2011 00:00:00 +0530 Fri, 24 Jun 2011 12:49:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=202740 Waste and scrap generated and sold at a job worker's premises cannot be subjected to central excise duty in the hands of the principal manufacturer, because duty under the Central Excise Act attaches to the person who manufactures the scrap. The job-work rule requires return of inputs or capital goods, and any non-receipt consequence is reversal of CENVAT credit, not fastening excise liability on the principal for scrap made by the job worker. The Tribunal followed the earlier view, affirmed by the High Court, that such scrap is not dutiable in the principal manufacturer's hands, so the duty demand, interest, and penalty were set aside. Case-Laws Central Excise Thu, 06 Jan 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=202740