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2017 (11) TMI 1037 - AT - Central ExciseSSI Exemption - rejection on the ground of not filing of prescribed declarations - N/N. 9/2003-CE dated 01.03.2003 - case of appellant is that mere non-filing of declarations by the appellant cannot be fatal for the appellant to deny exemption under the notification in question - in case the appellant has not filed declaration as required under N/N. 9/2003-CE dated 01.03.2003, whether the appellant is entitled for the benefit of exemption notification or not? Held that: - Admittedly, the appellant is an small scale industry and is otherwise entitled to the benefit of notification. In terms of SI.No.2 of the notification, a manufacturer intended to avail the benefit of notification is required to file his option in writing to their jurisdictional Central Excise authority - The declaration requires an assessee to give various informations about them to their jurisdictional Central Excise authority. Such information is regarding name and address of the manufacturer, location of the factory, description of inputs and final products, the date from which option has been exercised and aggregate value of clearances. It is also seen that legislative intent in issuing the said notification is to grant concessional rate of duty to the SSI unit. The appellant had admittedly satisfied all substantial conditions of the notification so as to earn the benefit. Denial of benefit on the ground that the option was not filed separately, if the same is otherwise available to the assessee, would defeat the legislative intent. It is well settled that an interpretation which defeats the purpose, for which a particular notification stands issued by Government, is not required to be adopted - Admittedly, in the present case, the purpose of small scale notification is to grant benefit to the SSI and to encourage the small scale industries. Such purpose cannot be defeated on the ground that option was not made separately on a piece of paper but the same was conveyed to the Revenue in the form of ER-3 returns. The benefit of notification in question is based upon the fulfilment of other conditions, like assessee being a small scale manufacture, the quantum of clearances effected in a particular year and the use of brand name etc. Filing of declaration has to be held as procedural conditions. Some conditions are substantive, mandatory and based on considerations of policy and some other merely belong to the area of procedure. It will be erroneous to attach equal importance to the non-observance of all conditions irrespective of the purposes, which they were intended to serve. Appeal allowed - decided in favor of appellant.
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