The appellant also submitted that WPFS are of three types WPFS with Dual Cartridges ii WPFS with Single Cartridge iii WPFS with Single cartridge Electronic Control Unit The filter housing and cartridge are imported by PDL through M s Cuno Asia Pte Ltd, Singapore and UV based Filteration and Purification unit from Rathi Brothers IWT Poona.
Appellant preferred an appeal to the Commissioner Appeals against the aforesaid order which was, however, dismissed by the Commissioner on 28.02.2002.
Various items imported by PDL and sold to their customers can be mounted on a wall, near the water supply point, and companynected to get the desired quality of water.
PDL, after importing these materials, supplied the same to the appellant herein.
The aforesaid explanation was number accepted by the Adjudicating Authority which passed Order in Original dated 30.11.1999 thereby companyfirming the demand raised in the show cause numberice which was in the sum of Rs.6,04,624/ and a penalty was also imposed on the appellant.
CESTAT has also dismissed the appeal of the appellant.
This order was challenged by the appellant before Custom Excise and Service Tax Appellate Tribunal CESTAT .
Still number satisfied with the outcome, present appeal is preferred by the appellant under Section 35L b of the Central Excise Act, 1944 questioning the companyrectness of the order passed by the Tribunal.
The explanation of the appellant was that this WPFS imported and mounted on a base plate by the appellants are used in various post mix vending machines installed at different locations by the customers.
The appellant submitted its reply taking the defence that it was only carrying out the job work of WPFS on the base frame and, therefore, it did number amount to manufacture of any new product.
Show cause numberice dated 13.05.1998 was served upon the appellant.
Appellant takes job charges from PDL.
The following types of Cartridges are used for the above Dirt and Rust Filteration Cartridge ii Triple Action activated Carbon cartridge.
Various parts which were supplied by the PDL to the appellant were as follows Filter Housing Cartridge UV Units Timer Mounting Plate screws Tubings and Fittings According to the Department of Revenue, the aforesaid work being carried out by the appellant, namely, assemble of the companyponents resulted into a new product known as WPFS having different name and character and it amounted to manufacture as per Section 2 f of the Central Excise Act, 1944 and, therefore, appellant was liable to pay excise duty.
K. SIKRI, J. The question of law which arises for companysideration in the present case is whether the activity of mounting of Water Purification and Filteration System WPFS on a base frame carried out by M s Poonam Spark Ltd. amounts to manufacture or number.
The aforesaid issue is to be determined in the following factual background One M s Perfect Drug Limited PDL had been purchasing importing various companyponents of WPFS classifiable under Tariff Heading 8421.
Job work was assigned to the appellant for the assembly of WPFS on behalf of PDL.
