TMI Blog2015 (1) TMI 445X X X X Extracts X X X X X X X X Extracts X X X X ..... cation No.6/2006 dated 21.06.2006 was applicable to coir products. This exemption was available till 28.02.2011 when it was withdrawn and duty @ 1% was imposed vide Notification No.01/2011 dated 01.03.2011 which was hiked to 2% vide amending Notification No.16/2012 dated 17.03.2012 - Impugned demand for the period up to February 2011 does not survive. For the subsequent period, it is seen that for the period 01.03.2011 to 16.03.2012 the effective rate for coir products was 1% and from 17.03.2012 it was 2% ad val subject to the condition that there was no Cenvat Credit taken on the inputs or input services. The appellants have stated that they have already paid the duty. - there is no justification for imposition of any penalty - Decided in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rity determined the short levy by applying the normal rate of excise duty, that is 10.3% and 12.3% as applicable during the relevant period. 2. The appellants have contended that (i) R.C. Mattresses are coir products as clarified by CBEC circular No.23/14/86-CX-1 dated 25.06.1986. In para 2 of the said circular, CBEC observed as under: The matter has been considered in the Board's Office. Board observes that Section 3(d) of the Coir Industry Act, 1953 defines coir products as 'mats, mattings and carpets, ropes and other articles manufactured wholly or partly from coir or coir yarn'. It terms of this definition rubberised coir mattresses of the type mentioned above would be covered as coir product. A specific r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contention of the appellants that the Coir Board's opinion whether a product is a coir product or not is relevant for the purpose of classifiable under Central Excise Tariff and the CBEC Circular mentioned above is in conformity with the opinion of the Coir Board. In the wake of this, reliance by the Commissioner on some dictionary meaning for the purpose of deciding whether the impugned goods are coir product does not sustain. We find that the exemption Notification No.6/2006 dated 21.06.2006 was applicable to coir products. This exemption was available till 28.02.2011 when it was withdrawn and duty @ 1% was imposed vide Notification No.01/2011 dated 01.03.2011 which was hiked to 2% vide amending Notification No.16/2012 dated 17.03.201 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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