https://www.taxtmi.com/caselaws?id=54928 Scrap and used materials cleared from a factory are not liable to excise duty merely because they leave the premises; levy requires a legally sustainable basis for treating them as excisable goods. On the facts, M.S. scrap from old machinery, aluminium and copper scrap from old fittings, used grinding wheels, and empty M.S. drums and plastic containers were all held not dutiable. Once the duty demands failed, the consequential penalty also could not survive and was set aside. The assessee obtained complete relief. en-us Mon, 11 Jul 2005 00:00:00 +0530 Fri, 22 Oct 2010 17:48:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=54928 Scrap and used materials cleared from a factory are not liable to excise duty merely because they leave the premises; levy requires a legally sustainable basis for treating them as excisable goods. On the facts, M.S. scrap from old machinery, aluminium and copper scrap from old fittings, used grinding wheels, and empty M.S. drums and plastic containers were all held not dutiable. Once the duty demands failed, the consequential penalty also could not survive and was set aside. The assessee obtained complete relief. Case-Laws Central Excise Mon, 11 Jul 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=54928