2005 (5) TMI 152

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....n, Member (T)]. - The issue involved in this case is whether under the CENVAT rules, the dispatch of inputs and process undertaken by the job worker on and resulting in the emergence of Laminated fabrics which are not covered by Notification 214/86 would result in duty demands to be made on the job worker as manufacturer of Laminated fabrics. 2. (a) The issue is well covered by the decisi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ules and on finding that the rules permit the removal of inputs for processing etc to a job worker do not prohibit such removals if the process amounts to manufacture. The prohibition is only that the inputs after processing are returned back in the stipulated period and if not returned duty credit taken on such inputs is to be recovered. If duty liability on processed inputs resulting in manufact....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e the duty demand on the job worker, especially where the laminated fabrics have been received back by the input supplier; if the fabrics have not been received back, the principal manufacturer is required to reverse the credit and the job worker will be liable to duty on the laminated fabrics on his own liability. For the fabrics received back by the principal manufacturer the liability to duty w....