https://www.taxtmi.com/caselaws?id=42411 For differential interest under Rule 49A of the Central Excise and Salt Rules, the controlling test is whether processing makes grey fabric cease to be grey fabric in the commercial sense. Calendering and shearing are not ative merely because some process was applied; their effect must be judged on the facts of each case. Here, calendering was only a temporary finish by plain rollers and shearing merely trimmed stray fibres, without creating a lasting change or a commercially distinct commodity. The fabric therefore remained grey cloth, and the higher rate under Rule 49A(2) was not attracted; interest applied only under Rule 49A(1)(b). en-us Tue, 17 Jan 1989 00:00:00 +0530 Thu, 24 Jul 2014 11:09:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=42411 For differential interest under Rule 49A of the Central Excise and Salt Rules, the controlling test is whether processing makes grey fabric cease to be grey fabric in the commercial sense. Calendering and shearing are not ative merely because some process was applied; their effect must be judged on the facts of each case. Here, calendering was only a temporary finish by plain rollers and shearing merely trimmed stray fibres, without creating a lasting change or a commercially distinct commodity. The fabric therefore remained grey cloth, and the higher rate under Rule 49A(2) was not attracted; interest applied only under Rule 49A(1)(b). Case-Laws Central Excise Tue, 17 Jan 1989 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=42411