CCE MEERUT Vs. MODI XEROX LTD

JUDGEMENT

(1.) THE main question involved in this reference is, If two exemptions are available to the same class of goods then whether an assessee has an option of choosing anyone of them.

(2.) M/s. Modi Xerox Limited (the Assessee), apart from others, manufactures toners. The toners is in the form of black powder packed in bottles. The bottles and its caps are also manufactured by the Assessee.

(3.) THE Assessee had been taking modvat credit of the duty paid on the bottles and caps, while paying the duty on the final product toner in which the value of packing material was also included.