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2018 (3) TMI 18 - AT - Central ExciseInterpretation of Statute - Pan Masala Packing Machines [PMPM] (Capacity Determination and Collection of Duty) Rules, 2008 - The department was of the view that the duty for the month of July, 2009 would come to ₹ 1,20,00,000/- (Rs. 24,00,000/- x 5) as per Rule 6 (4) readwith Rule 9 of the said Rules, whereas the appellants were of the view that they were required to pay duty of ₹ 85,16,130/- only, on pro-rata basis for the period 10/07/2009 to 31/07/2009, as per the fourth proviso to Rule 9 of the said Rules. Held that: - under the PMPM Rules, the period of assessment is calendar month. It is evident from Rule 5 which provides for determination of capacity on monthly basis and the duty payable per machine is prescribed for each month. Further in several other rules, the reference to determination of duty, abatement of duty is with respect to month. On a conjoint reading of the rules as a whole particularly Rule 9 proviso 4, Rule 8 first proviso, Rule 6 (4), Rule 7, it is evident that the applicable rule in the facts of the present case is Rule 9 which provides for the monthly duty payable on notified goods shall be paid by the 5th day of the same month and an intimation in Form – II shall be filed with the Jurisdictional Authority by 10th of the same month. Division Bench of this Tribunal in Trimurti Fragrances Pvt. Ltd. [2015 (8) TMI 34 - CESTAT NEW DELHI] in the case of claim for abatement for the period of closure of the factory when the appellant paid the proportionate duty for the period factory was in operation and Department contended that appellant should have paid entire duty for the month and only thereafter should have claimed rebate, where the Tribunal has held that when a new RSP is introduced the fourth proviso to Rule 9 of the said rules would apply and that any other interpretation would make the said proviso redundant or otiose, which is not permissible by law. The view taken by Revenue is against the provisions of the PMPM Rules, 2008 readwith Section 3A of the Act - appeal allowed - decided in favor of appellant.
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