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2020 (2) TMI 1163 - AT - Central ExciseBenefit of reduced rate of duty - N/N. 10/2006-CE dated 01.03.2006 - Denial of benefit on the ground that paver blocks are different from building blocks - HELD THAT:- Going by the show-cause notice, it would appear that an artificial distinction is made by the respondent-department between hollow and solid concrete blocks and paver blocks by taking reference from Indian Standard Specifications and paver blocks were excluded from the purview of the notification on the ground that those were primarily used in the parking area of a building, road junctions, warehouse terminal, foot-path etc. and not used as concrete mason building blocks, for which the same is distinguishable from concrete blocks and this forms the basis of the duty demand. A close scrutiny of Notification No. 10/2006-CE, would reveal that all goods covered under Chapter Heading 68 except Heading 6804, 6805, 6811, 6812, 6813 are covered in the said notification for concessional rate of duty @ 8% and not 16% - Therefore, even if it is accepted that appellant had classified the same under Chapter Heading 68101990 and puts the same in “others” category, still the same is covered under Notification No. 10/2006-CE for reduced rate of duty and comparison of the same with solid and hollow building blocks by the Commissioner (Appeals) in denying such concessional rate of duty appears to be irregular. Extended period of limitation - HELD THAT:- The appellant company has placed it on record vide letter dated 01.04.2007 that on the advised of its Chartered Accountant, they have reduced payment of Excise duty from 16% to 8% as they are covered under the said notification. Therefore, invocation of extended period on the ground that said letter was replied back by the respondent-department with a negative note, without its reference been cited in the order of the Commissioner (Appeals), cannot be said to be in conformity to the statutory provisions for invocation of extended period also. Appeal allowed - decided in favor of appellant.
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