TMI Blog2006 (10) TMI 170X X X X Extracts X X X X X X X X Extracts X X X X ..... paid on the machinery till we complete clearances of ₹ 100 lakhs? - AAR/05(CE)/2006 - - - Dated:- 17-10-2006 - Justice Syed Shah Mohammed Quadri, Chairman and Dr. B.A. Agrawal, Member [Ruling per : Justice Syed Shah Mohammed Quadri, Chairman]. - This application, by M/s. Bell Packaging (India) Pvt. Ltd., a resident private limited company is under Section 23C of the Central Excise Act, 1944 (for short "the Act"). The applicant is carrying on the business of designing and manufacturing plastic packaging of retail products using polyester, polypropylene, polyvinylchloride films and other polymers, like Diwali gift boxes and clear tubes for single flowers as presents. It proposes to set up a joint venture with a non-resident c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ded that the Notification as amended subsequently allows the exemption to all the units whether they are registered as SSI or not with the Directorate of Industries. The version of the applicant that it will lose the status of a small scale industry will make no difference and it can avail of the benefit of Notification as amended subject to fulfilment of the conditions therein. In so far as question No. 2 is concerned it is stated, in his further comments, that as per Para 2(iv) of Notification No. 8/2003 dated 1-3-2003, as amended, the exemption therein would apply subject to the condition that the manufacturer does not utilize the credit of duty on capital goods under Rule 3 or Rule 11 of the Cenvat Credit Rules, 2004 paid on capital goo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the public interest so to do, hereby exempts clearances, specified in column (2) of the Table below (hereinafter referred to as the said Table) for home consumption of excisable goods of the description specified in the Annexure appended to this notification (hereinafter referred to as the specified goods), from so much of the aggregate of - (i) the duty of excise specified thereon in the First Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) (hereinafter referred to as the First Schedule); (ii) the special duty of excise specified thereon in the Second Schedule to the said Central Excise Tariff Act, 1985 (hereinafter referred to as the Second Schedule), as is in excess of the amount calculated at the rate specified in t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it. - (1) A manufacturer or producer of final products or a provider of taxable service shall be allowed to take credit (hereinafter referred to as the CENVAT credit) of - (i) the duty of excise specified in the First Schedule to the Excise Tariff Act, leviable under the Excise Act; (ii) the duty of excise specified in the Second Schedule to the Excise Tariff Act, leviable under the Excise Act; (iii) the additional duty of excise leviable under Section 3 of the Additional Duties of Excise (Textiles and Textile Articles) Act, 1978 (40 of 1978); (iv) the additional duty of excise leviable under Section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957); (v) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... led for concession under the provisions of Notification No. 8/2003 dated 1-3-2003 as amended irrespective of the fact that the proposed equity of a foreign corporate body is 96.875% in the joint venture and the appellant ceases to be a SSI unit. (2) On the importing of machinery by paying CVD and SAD, that is, additional duties leviable under sub-sections (1) and (5), respectively, of Section 3 of the Customs Tariff Act, 1975, the applicant can start claiming the credit of CVD and SAD from the moment it exhausts exemption limit and pays excise duty at the factory gate on its production and that it can accumulate credit of CVD and SAD paid on the machinery till it completes clearances of Rs. One hundred lakhs. (Pronounced in the o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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