TMI Blog2023 (1) TMI 452X X X X Extracts X X X X X X X X Extracts X X X X ..... Schedule to the CE Act but as far as the rate of duty is concerned - there is no question of the Petitioner s product being outside the purview of the SVLDR Scheme read with the Fourth Schedule to the CE Act. The Court, therefore, rejects the plea of the Department that the Petitioner would be ineligible for the benefit of the SVLDR Scheme. The Court quashes the order dated 16 th December, 2019 and other similar orders issued by the Department (all of which have been assailed by the Petitioner in the writ petitions) rejecting the SVLDR applications of the Petitioner since they are based on an erroneous interpretation of not only the SVLDR Scheme but also Section 125(1)(h) of the Finance Act. A direction is issued to the Department t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lling under Chapter sub-heading 2707 9900, (iv) Anthracene Oil falling under Chapter sub-heading 2700 9100, (v) Heavy Creosote Oil falling under Chapter sub-heading 2707 9100, (vi) Coal Tar Pitch falling under Chapter sub-heading 2708 1090, (vii) Napthalene Balls/ Powder falling under Chapter sub-heading 2707 4000, (viii) Dehydrated Coal Tar falling under Chapter subheading 2706 0010, (ix) Process Oil falling under Chapter subheading 2710 1990, (x) Coal Tar Sludge falling under Chapter subheading 2706 0010, (xi) Crude Napthalene falling under Chapter sub-section 2707 4000, (xii) Pressed Napthalene falling under Chapter sub-heading 2707 4000, amongst others under the First Schedule of the CET Act, as it existed prior to 1st July, 2017 i.e., ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act .. has been explained as denoting that Central Excise duty under this Schedule is not leviable on such goods . 6. Mr. C.R. Das, learned counsel appearing for the Petitioner, has drawn attention to other entries in the Fourth Schedule which either clearly specify the rate of duty or in some instances the rate of duty is shown as NIL . As regards certain other entries, the rate of duty is specified as .. . As far as the Petitioner is concerned, its product, i.e., Process Oil admittedly falls under Chapter subheading 2710 1990 and in terms of the additional notes, excise duty on such goods is not leviable . 7. After the introduction of the SVLDR Scheme in 2019 incorporated in the Finance Act, 2019 under Chapter V, 1 st Sept ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r, the Scheme also focuses on the small taxpayers as would be evidence from the fact that the extent of relief provided is higher in respect of cases involving lesser duty (smaller taxpayers can generally be expected to face disputes involving relatively lower duty amounts). .. 6. It may be appreciated that the ambit of this Scheme is wide enough to cover all kinds of pending disputes, including call book cases, except for a few categories. The exclusions are firstly, cases in respect of goods that are still subject to levy of Central Excise such as specified petroleum products and tobacco i.e., goods falling in the Fourth Schedule to the Central Excise Act, 1944. 9. Therefore, when we speak of excisable goods it only re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... leviable at all. Therefore, there is no question of the Petitioner s product being outside the purview of the SVLDR Scheme read with the Fourth Schedule to the CE Act. The Court, therefore, rejects the plea of the Department that the Petitioner would be ineligible for the benefit of the SVLDR Scheme. 14. In that view of the matter, the Court quashes the order dated 16 th December, 2019 and other similar orders issued by the Department (all of which have been assailed by the Petitioner in the writ petitions) rejecting the SVLDR applications of the Petitioner since they are based on an erroneous interpretation of not only the SVLDR Scheme but also Section 125(1)(h) of the Finance Act. 15. A direction is issued to the Department to pro ..... X X X X Extracts X X X X X X X X Extracts X X X X
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