Case Details: Commissioner of Central Goods and Services Tax vs. J.C.B. India Ltd. (2025) 34 Centax 382 (S.C.)
Judiciary and Counsel Details
- J.B. Pardiwala & R. Mahadevan, JJ.
- S/Shri Rupesh Kumar, Sr. Advocate, Navanjay Mahapatra, V.C. Bharathi, Karan Chahar, Advocates & Gurmeet Singh Makker, AOR, for the Petitioner
- S/Shri Mukul Rohtagi, Sr. Advocate, Ms. Priyanka Rathi, Ashwini Chandrasekaran, Ms. Shubhangi Gupta, Mrs. Sonia Dhamija, Ranjeet Mishra, Tanishq Sharma, Sumit Gaur, Advocates & Pulkit Srivastava, AOR, for the Respondent
Facts of the Case
The matter concerned appeals against a CESTAT order holding that activities of packing, re-packing, labeling, and re-labeling of parts of earthmoving machines, such as hydraulic loaders (wheel loading shovels), hydraulic excavator loaders (backhoe loaders), and road rollers (compactors), did not amount to manufacture. The issue was whether such activities constituted manufacture in terms of Section 2(f)(iii) read with Sl. No. 100 of the Third Schedule to the Central Excise Act, 1944. The CESTAT, after following the decision of the Larger Bench in Action Construction Equipment Ltd. [2023 (11) Centax 17 (Tri. – L.B.)], had held that these activities did not amount to manufacture. Appeals were filed against the CESTAT order. The matter was accordingly placed before the Supreme Court.
Supreme Court Held
The Hon’ble Supreme Court held that there was no good reason to interfere with the impugned CESTAT order and that the appeals filed thereagainst were to be dismissed after condoning the delay. The Court observed that the CESTAT had correctly followed the Larger Bench decision in Action Construction Equipment Ltd. [2023 (11) Centax 17 (Tri. – L.B.)]. The Court noted that activities of packing, re-packing, labeling, and re-labeling of parts of earthmoving machines did not amount to manufacture in terms of Section 2(f)(iii) read with Sl. No. 100 of the Third Schedule to the Central Excise Act, 1944.
List of Cases Reviewed
- JCB India Ltd. v. Commissioner — (2025) 34 Centax 381 (Tri. – Chan.) — Affirmed [Para 2]
