TaxTMI 
TaxTMI 
2007 (8) TMI 14
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....ame was classified in sub-heading 8543.90 as "other electrical machinery and apparatus having individual functions". The Commissioner had invoked larger period in terms of Section 11A of the Central Excise Act, 1944 (in short the 'Act'). He confirmed the duty demand and also imposed like sum as penalty under Section 11AC of the Act. Penalty of rupees five lakhs was also levied on the Managing Director. According to the Revenue for the purpose of manufacture and clearance of the said item, namely, solar power electric power fencing system, the appellant brings various items which are also duty paid such as insulator, insulation test tool kit, battery charger and also procure various items from outside stores. They get GI wire, springs, batte....
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....s are fixed and the wires are fenced with all the other parts. The fence gives electric shock to animals when they want to cross the same it acts not only as an electrical barrier but also as a psychological barrier as no human or domestic animal having felt the shock once will attempt to go anywhere near the fence again. The power fence systems of various components which are brought out and some are manufactured and some are imported. They are all assembled to bring into existence solar power fence as a system. There is no civil work for erection and the item does not become part and parcel of immoveable property as contended. Therefore, the item satisfies the tariff description. We are of the considered opinion that it is goods and liabl....
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....sion of this Court in Commissioner of Central Excise, Indore v. Virdi Brothers [2007 (207) E.L.T. 321 (S.C.)]. 4. Learned counsel for the Revenue, on the other hand, submitted that though in some cases this Court remanded the matter to the CESTAT to decide on the factual aspects, in this case categorical findings have been recorded on the aspects for which remand has been made and, therefore, the assessee's appeal is without merit. 5. Apart from Virdi Brothers case (supra) this Court in Commissioner of Central Excise, Indore v. Cethar Vessels Ltd. [2007 (212) E.L.T. 454 (S.C.)] also dealt with the similar question. 6. According to learned counsel for the appellant, the view taken by the CEGAT is untenable. The adjudicating authority was ....
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....al Excise Act, 1944, the Central Board of Excise and Custom considers it necessary, for the purpose of uniformity in connection with classification of goods erected and installed at site, to issue the following instructions. 2. Attention is invited to Section 3Th Order No. 53/2/98-CX, dated 2-4-98 (F. No. 154/4/98-CD.4) [1998 (100) E.L.T. (T9)] regarding the excisability of plant and machinery assembled at site. 3. A number of Apex Court judgments have, been delivered on this issue in the recent past. Some of the important ones are mentioned below : (i) Quality Steel Tubes Pvt. Ltd. v. CCE - 1995 (75) E.L.T. 17 (S.C.); (ii) Mittal Engineering Works Pot. Ltd. v. CCE, Meerut - 1996 (88) E.L.T. 622 (S.C.); (iii) Sirpur Paper Mills Ltd. v.....
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....here change of identity takes place in the course of construction or erection of a structure which is an immovable property then there would no manufacture of "goods" involved and no levy of excise duty. Integrated plants/machines, as a who1e may or may not be 'goods'. For example, plants for transportation of material (such as handling plants) are actually a system or a net work of machines. The system comes into being upon assembly of its component. In such a situation there is no manufacture of 'goods' as it is only a case of assembly of manufactured goods into a system. This cannot be compared to a fabrication where a group of machines themselves may be combined to constitute a new machine which has its own identity! marketability and ....
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