Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2023 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (6) TMI 587 - CESTAT CHENNAI100% EOU - Classification of goods - GSM band - to be classified under Central Excise Tariff Heading 90304000 of the First Schedule to the CEETA, 1985 or under CETH 85279990? - eligibility for benefit of exemption under Notification 10/1997-CE dated 1.3.1997 - scope of SCN - HELD THAT:- There is no allegation in the Show Cause Notice with regard to classification adopted by the appellant or a proposal for redetermination of classification. By redetermining the classification, indeed the adjudicating authority has travelled beyond the Show Cause Notice and hence the classification redetermined and adopted for raising the demand cannot sustain. Exemption Notification No. 10/1997 dated 1.3.1997 - HELD THAT:- It is clarified by the Board circular F.No.DGEP/EOU/03/2007/879 dated 2.4.2008 that wherein CVD is paid equal to excise duty as applicable, exemption of central excise notification shall also be applicable to EOU for computation of duty on DTA clearance. The circular clarifies that there is no bar under proviso to section 5A of Central Excise Act, 1944 to consider the exemption while calculating the additional customs duty payable b y an EOU on DTA clearance. The issue whether a 100% EOU is eligible to avail the benefit of exemption notification is no longer res integra and is squarely covered by the decision of the Tribunal in the case of COMMISSIONER OF C. EX., HYDERABAD-IV VERSUS SHANTA BIOTECHNICS LTD. [2010 (7) TMI 334 - CESTAT, BANGALORE] has held that There is no dispute that the goods, which are manufactured and cleared by the assessee, are exempt from payment of Central Excise Duty under Notification 4/2006-C.E. After appreciating the facts, applying the Board circular as well as the decision of the Tribunal, it is opined that the demand cannot sustain and requires to be set aside. The appeal succeeds on merits. Appeal allowed.
|