1996 (9) TMI 414

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....mar, Proprietor, for the Respondents. [Order per : G.R. Sharma, Member (T)]. - The short point for determination in the present appeal is whether handloom cess shall be leviable on processed fabrics when cess has already been paid on grey fabrics. 2.  The facts of the case in brief are that the respondents herein are engaged in processing of grey fabrics. Grey fabrics are received by....

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....2.06 are shown in the Schedule and since grey fabrics are classifiable under sub-heading 52.05 and processed fabrics are classifiable under 52.06, therefore, cess shall be payable on both types of fabrics. 3. Shri A.K. Agarwal, learned SDR submitted that the respondents herein in any case manufacture cloth and since under Section 3 of the Khadi and other Handloom Industries Development (Ad....

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....th sides. We find that Section 3 of the Act ibid provides that there shall be levied and collected cess duty on cloth manufactured on or after the appointed day. The point for consideration, therefore, is whether in terms of Khadi and other Handloom Industries Development (Additional Excise Duties on Cloth) Act, the dyer of the fabrics is a manufacturer or not. This point becomes important in view....