Larsen and Toubro Ltd. and Ors. v. Commissioner of Central Excise, Hyderabad - (Supreme Court) (06 Oct 2015)
Location of manufacture not bonded to quality and type of concrete
MANU/SC/1127/2015
Excise
The Supreme Court ruled that a manufacturer of concrete mix, manufacturing it for captive consumption cannot claim exemption from excise duty on the basis of it being concrete mix solely because it was manufactured on-site. It noted that Larsen & Toubro was preparing concrete with a precision, and with certain additives, that rendered it more sophisticated than run-of-the-mill concrete mix, bringing it into the realm of high quality ready mix concrete. Tellingly, L&T required quality concrete for its own under-construction high quality concrete factory. The Court rejected the argument that since the concrete was manufactured on-site, it would necessarily render the concoction ‘concrete mix’.
Relevant : Exemption of certain excisable goods MANU/EXCT/0002/1997
Larsen and Toubro Ltd. v. Union of India MANU/TN/2826/2002
Tags : CONCRETE EXCISE EXEMPTION PREPARATION
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