2008 (12) TMI 465

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.... Shri Joseph Kodianthara, Advocate, for the Respondent. [Order per : T.K. Jayaraman, Member (T)]. -  The Revenue has filed this appeal against the Order-in-Appeal No. 30/2008 C.E. dated 6-2-2008, passed by the Commissioner of Central Excise, Customs and Service Tax (Appeals), Cochin. 2. The Respondents purchased polyethylene films for the purpose of wrapping their own inputs an....

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.... duty paid inputs. Against the said order, the Revenue went in appeal before the Tribunal. The Tribunal in its Final Order No. 316 & 317/2005 dated 21-2-2005 [2005 (191) E.L.T. 648 (Tribunal)] decided the issue in favour of the Revenue holding that the duty has to be discharged on this scrap and remanded the matter for re-computation. Consequently, the Assistant Commissioner passed the Order-in-Or....

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....l Laminates v. Commissioner of Central Excise & Customs, Ahmedabad [2002 (143) E.L.T. 143 (Tri. - Mumbai)] has held that plastic waste is a result of manufacture. Hence it is immaterial whether such waste and scrap is arisen out of duty paid inputs or not. The Commissioner (Appeals) has erred in observing that manufacturing status for waste and scrap of polyethylene film will remain only when it i....

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....ed the scrap arising out of non-duty paid inputs from the scope of the levy. Therefore it cannot be said that the Tribunal's order approves the contention of the Revenue that the scrap arising out of non-duty paid inputs is leviable to excise duty. 5. On a very careful consideration of the matter, we find that the scrap does not arise in the course of manufacture of any products. It is asc....