TaxTMI 
TaxTMI 
2017 (3) TMI 1505
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.... manufactured blanks out of these sheets/coils as per requirement of specific parts/components given by the customers. The appellant was classifying the said blanks under Chapter 72 and have paid central excise duty @8% or 12% during the relevant period. II. During the course of audit, the department was of the view that the said blanks are classifiable under Central excise Tariff Heading 8708/8714. The department was of the view that the appellant has short paid the duty on these blanks (classifiable under CETH 8708/8714 chargeable to 16% duty). A SCN was issued to the appellant proposing to demand excise duty along with interest and penalty. On adjudication, the Ld. Commissioner has held that the blanks manufactured by the Appell....
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....oil is unpacked for processing. This activity is undertaken manually. It is an offline activity. II. The unpacked coils are loaded on the decoiler which opens the coil and thus prepares it for further processing in the blanking line. In the engineering parlance, this activity is called threading. III. In case the coil requires washing, it is passed through a washing unit. The operation of this unit is optional and depends on the fact as to whether the blank to be made is for eventual use in the manufacture of skin or outer panel. The fact that the blank is required for skin or outer panel is informed by the customer. The washing is undertaken to remove any dust or foreign particle. IV. The washed coil is sent to t....
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.... goods were supplied by the appellants to their buyers i.e. M/s Jay Bharat Maruti Ltd. further process has been taken out which is reproduced hereunder:- "Drawing: By this process, the shape of the component is given to the Blank. In general terms drawings describe the operation used to produce cups, cones, boxes and shell like parts. Piercing: By this process the holes or slots of different shapes can be made even in the inner sides of the product received after drawing. This process also enables the removal of scrap by smoothening the surface of the hole or the slot made. Trimming: By this process, the edges are cut and the final outer profile of the component is obtained. Re-Strike: It is the forming o....
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.... the records of the case and have considered the submissions made by both sides. Blanks are metal sheets cut to the specifications for use in the manufacture of products. They assume the character of the products only after required manufacturing processes are carried out. Blanks in the instant case are not usable nor are known as motor vehicle parts. They would become that only after various processes are carried out. Therefore, there is no basis to the claim that they are motor vehicle parts in unfinished forms or that they have the essential character of motor vehicle parts. Appeal therefore, fails and is dismissed. " Further in the case of Tisco Ltd. Vs. CCE (supra), the facts of the case are as under:- "2. The appellants....
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.... finished machine parts or as a blank for machine parts which by application of Rule 2(a) of the Rules of Interpretation would be classified under Chapters 84, 85, 86, 87 etc. 2. CEGAT in its Order No. E. 103 to 105/93 B.1, dated 20th May, 1993 in the case of M/s. Shivaji Works Ltd. v. C.C.E., Aurangabad [1994 (69) E.L.T. 674 (T)] has held that the Heading 73.25 would include all castings from the stage of their emergence from the castings mould to the stage of being proof machined. 3. It would thus appear that castings coming out of the castings moulds up to the stage of proof machining and requiring further machining before being used as machine parts would be appropriately classifiable under Chapter 73. However, those c....