Case Laws
Acts
Notifications
Circulars
Classification
Forms
Manuals
Articles
News
D. Forum
Highlights
Notes
🚨 Important Update for Our Users
We are transitioning to our new and improved portal - www.taxtmi.com - for a better experience.
⚠️ This portal will be discontinued on 31-07-2025
If you encounter any issues or problems while using the new portal,
please
let us know via our feedback form
so we can address them promptly.
Home
2005 (4) TMI 191 - AT - Central Excise
Issues:
Appeal against denial of benefit under Notification No. 5/99-C.E. due to availing benefit under Notifications No. 8/98-C.E. and 9/98-C.E. Analysis: The appellants contested the denial of benefits under Notification No. 5/99-C.E. by the Commissioner (Appeals) citing their availing of benefits under Notifications No. 8/98-C.E. and 9/98-C.E. The appellants argued that as per Condition No. 15 of Notification No. 5/99-C.E., the exemption does not apply to a manufacturer benefiting from Notifications No. 8/98-C.E. and 9/98-C.E. The Revenue, however, contended that if a manufacturer benefits from either Notification No. 8/98-C.E. or 9/98-C.E., the benefits under Notification No. 5/99-C.E. are not accessible. The Revenue emphasized that under Notification No. 9/98-C.E., a manufacturer cannot switch to benefiting from Notification No. 8/98-C.E. during the financial year. They argued that since both notifications pertain to small-scale exemptions, a manufacturer can only avail benefits under one notification. Condition No. 15 of Notification No. 5/99-C.E. further supports this stance by stating that the benefit is for manufacturers claiming benefits under Notifications No. 8/98-C.E. or 9/98-C.E. The Tribunal found that the appellants were indeed benefiting from Notification No. 9/98-C.E. in the same financial year. The Tribunal noted that under Notification No. 9/98-C.E., a manufacturer cannot simultaneously avail benefits under Notification No. 8/98-C.E. In light of these provisions, the Tribunal rejected the appellants' argument that Notification No. 5/99-C.E. can only be denied if a manufacturer benefits from both Notification No. 8/98-C.E. and 9/98-C.E. Since the appellants were benefiting from Notification No. 9/98-C.E., the denial of benefits under Notification No. 5/99-C.E. was deemed appropriate. Therefore, the Tribunal dismissed the appeals, finding no merit in the appellants' contentions, and upheld the denial of benefits under Notification No. 5/99-C.E. as the appellants were already benefiting from Notification No. 9/98-C.E.
|