9911796707
TMI Blog2009 (2) TMI 176X X X X Extracts X X X X X X X X Extracts X X X X ..... being disposed off by a common order as they arise out of the same impugned order passed by Commissioner (Appeals). 2. As per the facts on record, appellants M/s. Sunshine Oleochem Pvt. Ltd. has set-up a unit in the Kutch, Gujarat and were availing the benefits of area based Notification No. 39/2001-C.E., dated 31-7-2001. The said Notification extends benefit to a new unit setup in the Kutch district of Gujarat on or after 31-7-2001 and commenced commercial production before 31-12-2005. The manufacturers entitled to avail benefit of the Notification are first required to utilize the entire Cenvat credit available to them on the last date of the month wider consideration for payment of duty on goods cleared during such months and balance du ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d Pitch and denying the refund of duty paid on the goods on the ground that the same were not specified items in the certificate issued by the Committee. 5. After hearing both the sides duly represented by Shri G.L. Rawal, Sr. Advocate and Shri Sameer Chitkara, SDR, we find that the substantial condition of the notification as regards the investment and date of commencement of commercial production stands satisfied by the appellant. Further, clause 3(ii) and 4(i) of the Notification lays down that; 3. The exemption contained in this notification shall be subject to the following conditions, namely:- (i) It shall apply only to new industrial units, that is to say, units which are set up on or after the date of publication of this notifica ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s is seen from the above that the certificate from the Committee is required to be produced indicating that the unit is a new unit and has been setup during the time period as specified in the Notification. Undoubtedly, the appellants satisfied the above condition. However, the benefit of the Notification stands denied on the sole ground that whereas, the certificate of Committee only mentions the Fatty Acid as the specified item to be manufactured by the appellant, benefits cannot be granted to the other products. On the other hand, the appellant's contention is that such certificate is required to be submitted in respect of the unit and the same is not required to be produced in respect of each and every product manufactured by them. As l ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... red after the said date or any new machinery is installed after the cut off date. As admittedly, the corrugated boxes are manufactured out of the corrugated sheets, the production of which commenced before 31-12-2005, no infirmity could be found in the view adopted by the Commissioner (Appeals). In any way, we find that Central Board of Excise and Customs vide their letter F. No. 119/21/2006-C.X. 3 dated 10-7-2008 clarifying the position. For better appreciation, we reproduce the relevant part of the said letter: "Point No. 1. Whether the benefit of exemption would be available to goods/products that unit starts manufacturing after the cut off date for the commencement of commercial production i.e. 31-12-2005. Comments: There would be two ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ut the production of sheets before 31-12-2005 and subsequent conversion of such sheets into boxes after the said date will not have effect of making the assessee ineligible to the benefit of the Notification. 5. It is well settled that the Revenue cannot argue against the clarifications issued by the Board. We make it clear that even in the absence of the above clarification, the order passed by the Commissioner (Appeals) cannot be faulted upon inasmuch as, admittedly, plain corrugated sheets were manufactured before the cut off date and the entire plant and machinery was installed before the said date. Subsequent manufacture of boxes out of corrugated sheets wilt not amount to production of an altogether new and different product so as to ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
