COLLECTOR OF CENTRAL EXCISE,HYDERABAD ETC.ETC. vs M/S.VAZIR SULTAN TOBACCO COMPANYLIMITED, HYDERABAD ETC.ETC.

The Supreme Court interpreted Section 37 of the Finance Act, 1978, which imposes a special duty of excise on goods, determining that goods manufactured before March 1, 1978, but removed after this date are subject to this duty. The Court held that the levy of excise duty is applicable at the time of removal, not manufacture, thus upholding the authorities' decision to impose the duty on the cigarettes in question. The appeal by M/s. Vazir Sultan Tobacco Company Limited was dismissed, affirming the levy of the special excise duty.