2014 (3) TMI 557 - AT - Central Excise

SSI Exemption - State Government - Benefit of Notification 8/2003-CE dated 1.3.2003 - Held that - respondent is the department of State Government and in their factory certain excisable goods were manufactured, which were cleared by claiming the benefit of Small Scale Exemption Notification, i.e. 8/2003-CE. The Revenue wants to club the clearance of the goods manufactured in the workshop of Water Resources Department, Government of Maharashtra on the ground that the factories are belonging to one manufacturer. We find that the Notification 8/2003-CE contains specific provision that where the specified goods are manufactured in the factory belonging to or maintained by the State Government, then the value of excisable goods cleared from such factory alone shall be taken into account - Decided against Revenue.

Summary

Issues:
- Interpretation of Notification 8/2003-CE for excisable goods clearance benefit.

Analysis:
The Appellate Tribunal CESTAT MUMBAI heard appeals filed by Revenue against orders granting benefit under Notification 8/2003-CE to a State Government department for manufacturing excisable goods. The issue revolved around whether goods cleared from the department's factory could be clubbed with another factory's clearance. The Tribunal noted the specific provision in the Notification stating that for goods manufactured in a factory belonging to or maintained by the State Government, only the value of goods cleared from that factory should be considered. The Tribunal upheld the Commissioner (Appeals) decision, emphasizing the clear language of the Notification. As a result, the appeals were dismissed.

This case highlights the importance of interpreting legal provisions, such as notifications, in accordance with their explicit wording. The Tribunal's decision underscores the significance of adhering to specific language in legal documents to determine the scope and applicability of benefits or regulations. The judgment serves as a reminder that legal interpretations should be based on the precise wording of relevant provisions to ensure consistency and fairness in decision-making processes.