2008 (2) TMI 216

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....mmoveable property. The findings recorded are reproduced herein below. FINDINGS: I have carefully gone through the records of the case and also the submissions made in the Memorandum of Appeal and the submissions made at the time of Personal Hearing. The main issue before me for decision in the present appeal is whether ducts are dutiable or not. Appellants undertake installation of Heat Ventilation and Air Conditioning Systems. During such installation Ducts play an important role. The dispute in the present appeal is about dutibility of those Ducts which were fabricated at site by the appellants. The process of fabrication of Ducts is as follows : - "GI Sheets are cut, bend and folded to the required size to form the Ducts.....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Court in the case of Man Structurals Limited reported in 2001 (130) E.L.T. 40 (S.C.) that while determining the excisability of the products the process of manufacture and its marketability is to be considered. It is clear from the facts of the case that these Ducts are designed to suit the location of the Air Conditioning system in each customer's case separately. These Ducts are not articles known to the market, which are capable of being bought and sold as such. Hence these Ducts cannot be considered as marketable goods. The tower authority has also relied on the decision of Board's Circular No. S8/1 /2002-CX., dated 15-1-2002, which clarifies that though the Air Conditioning system as a whole is not excisable, the dutiability of each....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... service has been produced. Hence, the matter is taken up for decision on merits. 5. We have considered the judgment of Mahindra & Mahindra Vs. CCE (supra) and find that the ruling pertains to parts of iron / steel structures. The said goods are different from the goods in question. The Commissioner (A) has analyzed that the ducts came into existence and also noted that they do not come in the form of hollow profiles to fall under the Heading 7304.10, as these are not made by processing of drawing, forging, or extrusion but they are brought into existence by sheet metal fabrication work. The sheet metal fabrication is done along with the immoveable property. The Commissioner (A) has relied on the judgment rendered in the case of CCE, Jai....