Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Central Excise Tariff Act |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Writ Petition |
Court | Supreme Court of India |
Disposal Nature | Petition Disposed Off |
Headnote | Central Excise Tariff Act, 1985; Sub-heading 4702.90/Central Excise Act, 1944; S.11AB/Central Excise Rules; rr.52-A and 173-B and Exemption Notification No.89/95 dated 18.5.1995:Classification - Waste/scrap/parings from manufacture of printed paper boxes sold by assessee - No declaration made - Neither classification list filed nor invoices issued in terms of Rule 52A of the Rules - Levy of Excise duty - Show Cause Notice - Revenue confirmed demand of certain amount of the duty and also imposed penalty - Appeal against the order of Revenue allowed by the Tribunal holding that charging of excise duty on such waste/scrap/parings tantamounts to charging of duty on the same product twice - On appeal, Held: Tribunal came to an abrupt conclusion without considering the factual scenario - Hence, matter remitted to it for consideration afresh in the light of the decision on the subject, as referred in the judgment - Directions issued.Respondent-assessee is manufacturer of printed paper board boxes from paper board. The waste/scrap/parings generated in the process was allegedly sold by the assessee without making declaration of such transactions, nor did it file classification list under Rule 173-B of the Central Excise Rules, 1944. Since goods in question were classifiable under sub-heading 4702.90 of the Central Excise Tariff Act, a show cause notice was issued by the competent authority. Later, Commissioner of Central Excise confirmed the demand of excise duty amounting to Rs.23,20,000/- imposing penalty of identical amount and also directed payment of interest at the appropriate rate under Section 11AB of the Central Excise Act, 1944. Aggrieved, the assessee filed appeal before the CEGAT. The Tribunal held that the paper and paper board are used as inputs and continue to be paper and paper board when they appear as waste/scrap/parings. Charging of duty on such waste/ scrap/paring tantamounts to charging of duty on the same product twice. Hence the present appeal.Revenue contended that effect of non-filing of classification list under Rule 173B of the Rules has not been considered by the Tribunal; that the fact that there is a sale of waste/scrap/parings, was also not considered by the Tribunal; and that the benefit of exemption under Notification No. 89/95 dated 18.5.1995 is not available to the assessee. |
Judge | Hon'ble Dr. Justice Arijit Pasayat |
Neutral Citation | 2007 INSC 1005 |
Petitioner | Cce, Lucknow |
Respondent | M/s. Wimco Ltd. |
SCR | [2007] 10 S.C.R. 560 |
Judgement Date | 2007-10-05 |
Case Number | 274 |
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