Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | 1956-Ss. 31 and 321 Rule 35- 1914/Punjab Brewery Rules Punjab Excise Act |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Punjab Excise Act, 1914/Punjab Brewery Rules, 1956-Ss. 31 and 321 Rule 35-Manufacture of beer-Excise Duty-Levy of-Held, can be levied only after the process of manufacture was completed and has became fit for human consumption-Tax is on the end product and not on the raw material.Appellant-Excise authorities issued a show cause notice to the respondent imposing excise duty on the beer brewed stating that the wastage referred to in Rule 35 was more than 10 percent for the period 1986-87 and earlier, and more than 7 percent in the later years. Respondent raised a plea before the excise authorities, that the percentage of wastage should have been more than 7 or 10 percent. The said plea was rejected. Thereafter respondent filed a writ petition before the High Court contending that it was not permissible for the excise authorities to levy excise duty at the stage before potable beer becomes fit for human consumption. High Court quashed the demand by holding that on the actual quantity of potable beer manufactured by the respondent allowance of 7 percent should be given and then duty determined. Hence the present appeal. On behalf of appellant it was contended that the State is not proposing to levy any excise duty on beer which had not been manufactured and had not become fit for human consumption, and that the High Court has not correctly construed the different provisions of the Act and Rules. On behalf of respondents it was contended that excise duty was payable only after all the process in the manufacture of beer have been completed and on the end-product an exemption of 7 percent was to be allowed. |
Judge | Honble Mr. Justice B.N. Kirpal |
Neutral Citation | 2002 INSC 75 |
Petitioner | Government Of Haryana |
Respondent | Haryana Brewery Ltd. And Anr. |
SCR | [2002] 1 S.C.R. 942 |
Judgement Date | 2002-02-12 |
Case Number | 1999 |
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