TMI Blog2012 (7) TMI 848X X X X Extracts X X X X X X X X Extracts X X X X ..... , it can be logically inferred that they have been refunded duties of excise suffered on inputs by way of DEPB benefit. The intention of any export related scheme is to promote export of goods by ensuring that all the duties suffered on such exported goods are refunded. Having said so, it is also not intention of such export oriented scheme to extend double benefit of exporter. In this case, the respondent having availed DEPB benefit cannot be allowed to avail rebate of duty paid on inputs, as the same would amount to double benefit. Government notes that the applicant M/s. Hi Speed Offsets, a manufacturer has exported goods through merchant exporter against CT-I without payment of duty. The said exports are made under bond without payment of duty in terms of provisions of Rule 19 of Central Excise Rules, 2002. But the applicant manufacturer has claimed input rebate claim under Rule 18 of Central Excise Rules, 2002 r/w Notification No. 21/2004-C.E. (N.T.), dated 6-9-2004. For claiming rebate of duty paid on excisable goods or duty paid on materials used in the manufacture or processing of such goods, the provision of Rule 18 Central Excise Rules, 2002 r/w Notification No. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gned Order-in-Original and decided the case in favour of respondent. 3. Being aggrieved by the impugned Order-in-Appeal, the applicant department has filed this revision application under Section 35EE of Central Excise Act, 1944 before Central Government on the following grounds : 3.1 The merchant exporter has exported the goods under DEPB scheme. Since the exporter has claimed DEPB benefit under the DEPB scheme, no right vests in the exporter/manufacturer to claim the rebate of duty paid on inputs used in the manufacture of export goods and issue disclaimer in favour of manufacturer. The rebate claims filed by the manufacturer and paid to him as rebate have thus resulted in double benefit for the same export. 3.2 Under the DEPB scheme the exporters are issued DEPB scrip which allows them the specific amount to be utilized for payment of customs duty. The amount for which DEPB scrip is issued depends upon the rate for a particular export product. The Ministry of Commerce notifies DEPB credit rates for export of an item. The DEPB scrip is freely transferable and can be used to debit the payment of duty at the time of clearance of goods except capital goods and goods mention ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he said disclaimer has either been adduced before the Commissioner (Appeals) or in the present proceedings. 4.3 The rebate under Notification No. 21/2004-C.E. (N.T.) cannot be claimed simultaneously with the drawback, indicates that the law makers were conscious that there are overlapping incentive schemes in relation to export of goods. In this backdrop the exclusion of any declaration with regard to DEPB for availment of rebate singularly indicates that the incentive in terms of DEPB in no way overlaps with the rebate of excise duty under Notification No. 21/2004-C.E. (N.T.). As such, the availment of rebate and DEPB do not lead to any dual benefits. 4.4 The reference to Public Notice No. 102 (RE-2008)/2004-2009, dated 5-11-2008 in the appeal filed by the department is misplaced because the public notice is in respect of amendments/additions/corrections etc. in the book titled schedule of DEPB Rates . The public notice is not in respect of delineation of the DEPB scheme. The general instruction for DEPB rates listed at Sl. No. 5 of the public notice, as referred, is in the context of explaining that the DEPB rates as given under the generic description of writing instrumen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... PB scheme through merchant exporter, against CT-1, without payment of duty on final product. Subsequently, they filed claim of rebate of duty paid on inputs used in such duty free final exported goods. The rebate claim was initially sanctioned by Originally Authority vide impugned Order-in-Original. Later on, being aggrieved by the impugned Order-in-Original, applicant department had filed appeal before Commissioner (Appeals) on the ground that as the goods were exported under DEPB scheme, the rebate was not admissible. Commissioner (Appeals) decided the case in favour of respondent. Now, applicant department has filed this revision application on grounds mention in para (4) above. 8. Government notes that in this case goods were exported without payment of duty under CT-1. As such, the exporter suffered duty only at one stage i.e. at input stage. It is also undisputed fact that the respondent has availed DEPB benefit on export of their final product. DEPB benefit includes refund of duties suffered on account of duties of Customs and duties of excise. In this case, the applicant department has contested that the respondent did not use any imported inputs and hence, they have not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y other premises, for use in the manufacture or processing of goods which are exported, as may be approved by the Commissioner. (3) The export under sub-rule (1) or sub-rule (2) shall be subject to such conditions, safeguards and procedure as may be specified by notification by the Board. 9.1 The plain reading of above said rules, makes it clear that for claiming rebate of duty paid on excisable goods or duty paid on materials used in the manufacture or processing of such goods, the provision of Rule 18 Central Excise Rules, 2002 r/w Notification No. 19/2004-C.E. (N.T.) or 21/2004-C.E. (N.T.) both dated 6-9-2004 are to be followed. At the same time, if the exporter does not want to export goods under claim of rebate under Rule 18 ibid, he has the facility of exporting goods under bond without payment of duty under Rule 19 of Central Excise Rules, 2002. 9.2 The exporter has to choose a scheme carefully whichever is beneficial to him. Once he has decided to avail the benefit of particular scheme, he has to work within the parameters of said scheme and comply with the relevant statutory provisions. There are different notification issued under both Rules 18/19 ibid prescribi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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