https://www.taxtmi.com/caselaws?id=42651 Excise duty on an intermediate product captively consumed in further manufacture depends on proof that the item is a distinct, identifiable and marketable commodity known to the market. The settled marketability test applies even where the product is used within the same manufacturing process, and the revenue must establish marketability with evidence. On the facts described, no such evidence was produced and the correct legal test was not applied, so the intermediate product was not treated as excisable goods. The excise demand could not be sustained and the duty collected was refundable. en-us Sat, 21 Oct 1989 00:00:00 +0530 Sat, 12 Jun 2010 14:18:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=42651 Excise duty on an intermediate product captively consumed in further manufacture depends on proof that the item is a distinct, identifiable and marketable commodity known to the market. The settled marketability test applies even where the product is used within the same manufacturing process, and the revenue must establish marketability with evidence. On the facts described, no such evidence was produced and the correct legal test was not applied, so the intermediate product was not treated as excisable goods. The excise demand could not be sustained and the duty collected was refundable. Case-Laws Central Excise Sat, 21 Oct 1989 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=42651