2002 (11) TMI 424

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....Appellant. Shri B.I. Narsimhan, Advocate, for the Respondent. [Order per : Justice K.K. Usha, President]. -  In these appeals at the instance of the Revenue, the common issue raised is whether the respondent assessee is liable to pay duty on glass scrap generated in its factory in the course of filling of tomato ketchup and sauces in glass bottles/jars etc. Learned Commissioner (Appe....

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....of Rule 57F reads as follows : "(18) any waste, arising from the processing of inputs, in respect of which credit has been taken, may be - (a) removed on payment of duty as if such waste is manufactured in the factory;" Admittedly, in this case the assessee has taken credit in respect of bottles. That being so, the waste and scrap arising out of broken bottles/jars are exigible ....

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....e purview of Rule 57F(18)(a). Under these circumstances we hold that the scrap and waste arising out of broken bottles/jars etc. at the time of filling them by the assessee are liable to be taxed under the tariff heading 7001.10. Appeal No. E/2163/2002-D 3. But the learned Counsel for the assessee submits that the demand is barred by limitation. The show cause notice is dated 6-1-2000. ....