of Central Excise, Jaipur Vs. M/S Hindustan Zinc Ltd.,  Insc 193 (24 March 2004)
N. Variava & H. K. Sema
(with C.A. No. 9276 of 2003) S. N. VARIAVA, J.
question which arises in these two Appeals is whether the Respondents are entitled
to the benefit of Notification No. 217/86-CE dated 2nd April, 1986. The Tribunal has, in the impugned Orders without giving
any ascertainable reasons, held that the lead input sheet would be eligible to
the benefit of the Notification, but the headers would not be eligible to the
benefit of the Notification.
No. 217/86-CE of 1986 only exempts inputs. It also clarifies that machine,
machinery, plant equipment, apparatus, tools or appliances used for
manufacturing and processing of any goods or bringing about any change in any
substance or in relation to a final product shall be excluded from the term
"inputs". What is questioned before us is the finding of the Tribunal
that the lead anode sheets are eligible to the benefit of the Notification.
fairly admitted that sheets would be an input and that if it is clarified that
the Notification only applies to sheets and not to the final product
manufactured after headers are fixed to the sheets, the Deptt. will be
satisfied. To this there is no objection.
view it is clear that headers whether attached to lead or aluminium sheets are
not inputs. As they are not inputs the benefit of the Notification would not be
available to headers. However, the sheets are inputs and they would be entitled
to the benefit of the Notification.
Appeals stand disposed of accordingly. There will be no order as to costs.