2010 (12) TMI 1114 - AT - Central Excise

Essentiality certificate - demand of duty on the ground that the essentiality certificate granted to the assessee for the purpose of clearance of the goods without payment of duty in terms of N/N. 10/97-C.E., dated 1-3-1997 had been subsequently cancelled - Held that - although the essentiality certificate, as per the notification above mentioned, was granted initially, it was subsequently cancelled on 26-6-2002. The cancellation also specifically states that the Form-B for availing customs and excise duty exemption issued earlier also stands cancelled - thus, the demand has been rightly confirmed - however, the prayer of the assessee for extending the benefit of cum-duty price is allowed - appeal allowed - decided partly in favor of assessee.

Summary

The Appellate Tribunal CESTAT CHENNAI upheld duty demand of Rs. 4,07,808 on 200 computer systems supplied to M/s. Sri Sarathy Institute of Engineering Technology. The essentiality certificate was initially granted but subsequently cancelled on 26-6-2002. The demand was rightly confirmed, but the benefit of cum-duty price was allowed. The appeal was partly allowed.