Case Law Analysis
|Custom, Excise & Service Tax Tribunal
Central Excise Duty | Job Worker, Not Principal, Liable for Duty on Contract Manufactured Goods Under Section 3 : CESTAT
CESTAT clarifies that excise duty liability under Section 3 of the Central Excise Act rests with the job worker undertaking actual manufacturing, not the principal supplying raw materials. The ruling shields principals from duty demands where job workers avail area-based exemptions, impacting contract manufacturing agreements across industries.