1994 (12) TMI 158

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....5-1985 whereby he had rejected their refund claim for a sum of Rs. 1064.26 paid by them as cess on Biris cleared by them after 1-1-1982. They had claimed the refund on the ground that cess became leviable on Biris manufactured after 1-1-1982 under the Biri Workers' Welfare Cess Act whereas the Biris in question had already been manufactured before the said date. The Assistant Collector had held that some of the Biris were labelled only after 31-12-1981 and the others, even if labelled, were not packed. The Biris became fully manufactured only after such processes when they attained the marketable stage on or after 1-1-1982. The appeal was rejected by Collector (Appeals) who upheld the order of the Assistant Collector. He did not accept thei....

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....paration of Biris cannot amount to manufacture is not sustainable. In their reply to the cross objection, they have pointed out that their submission in the appeal was that there is no condition in the Biri Workers' Welfare Cess Act that the Biris eligible for exemption from payment of cess should be fully manufactured. According to the Cess Act, Biris manufactured prior to 1-1-1982 were exempted from levy of cess. There is a huge difference between the word fully manufactured and manufactured. It has, therefore, been urged that Biris manufactured prior to 1-1-1982 though not fully manufactured i.e. labelled and packed on that crucial date should not be subjected to levy of cess in terms of the Cess Act. According to the Cess Act, Biris sho....

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....hence such packed and labelled Biris are the manufactured product. We do not accept the plea raised by the appellant that such processes, viz., labelling and packing are post-manufacturing processes. The use of the term "fully manufactured" in the impugned orders is to be viewed in this context and should be taken to mean "manufactured". The material which had not undergone such processes had been taken as not fully manufactured or in other words not manufactured. The Andhra Pradesh High Court judgment does not apply to the facts of the case. In the said case the Honourable High Court had held that Tekedars who get Biris rolled in their premises and return them to the principal manufacturers are also manufacturers who were required to obtai....