2014 (1) TMI 214 - AT - Central Excise

Classification of Goods Heading 8437 10 00 as NIL rated OR 9406 00 99 Waiver of Pre-deposit Held that - The entire demand of duty is within the normal period of limitation - The assessee claims to CENVAT credit on inputs - the appellant directed to pre-deposit an amount of Rupees One crore as pre-deposit upon such submission rest of the duty to be stayed till the disposal Partial stay gratned.

Summary

Issues:
- Waiver and stay application against demand of Rs. 1,60,93,682 for the period from August 2010 to June 2011.
- Classification of the product under heading 8437 10 00 or 9406 00 99.
- Pre-deposit amount and compliance requirements.

Analysis:
1. The appellant filed an application seeking waiver and stay against a demand of Rs. 1,60,93,682 for the period from August 2010 to June 2011. The dispute revolves around the classification of the product, Silo, claimed by the appellant as 'Agri Processing Machinery' under heading 8437 10 00 with a duty rate of 'nil', whereas the Revenue argues it falls under heading 9406 00 99. The appellant cited a previous case involving the same assessee where a pre-deposit was ordered against a similar demand, and the Additional Commissioner (AR) did not object to following the precedent due to the similarity in facts.

2. The judgment notes that the entire demand of duty falls within the normal period of limitation. The appellant also claims CENVAT credit on inputs amounting to Rs. 22.41 lakhs. Considering these undisputed facts, the tribunal directed the appellant to pre-deposit Rs. 1,00,00,000 within six weeks and report compliance to the Deputy Registrar by a specified date. The Deputy Registrar was to report back to the Bench accordingly. Upon compliance, waiver and stay were granted in respect of the remaining dues.

This judgment provides a detailed analysis of the issues surrounding the waiver and stay application, the classification of the product in question, and the pre-deposit amount required for compliance. The decision was made based on the specific facts of the case and the previous precedent involving the same assessee, ensuring a fair and reasoned approach to resolving the dispute.