Spent Catalyst removed as by-product from factory not a manufactured product, Excise duty not Demandable: CESTAT

The CESTAT has ruled that excise duty is applicable to spent catalysts removed from a factory, which are considered manufactured products. The case concerned the removal of used catalysts from a manufacturing facility, which the tax authorities had treated as products subject to excise duties. The tribunal upheld the demand for excise duty, affirming that spent catalysts, once removed from the factory, are treated as manufactured products under excise law. This ruling clarifies the tax treatment of materials used in manufacturing processes and reinforces the importance of compliance with excise duty regulations.