2004 (4) TMI 110 - AT - Central Excise

Summary

Issues involved: Whether the benefit of Notification No. 6/2000-C.E. is available to brass sheets manufactured by M/s. New Sandhu Metal Works.

Analysis:
1. Interpretation of Notification: The appeal filed by the Revenue questioned the availability of the benefit of Notification No. 6/2000-C.E. to brass sheets manufactured by M/s. New Sandhu Metal Works. The Senior Departmental Representative argued that the exemption under Serial No. 198 of the Notification is limited to goods intended for use in the manufacture of handicrafts or utensils, excluding trimmed or untrimmed sheets or circles of copper. However, the Advocate for the respondents contended that since the sheets were not intended for utensils or handicrafts but for electrical goods, they should be eligible for the exemption. The Tribunal analyzed Serial Nos. 198 and 199 of the Notification, which clarified that Serial No. 198 exempts all goods under Heading No. 74.09 except trimmed or untrimmed sheets/circles of copper intended for utensils or handicrafts, which are covered under Serial No. 199.

2. Exclusion of Goods: The Tribunal emphasized that Serial No. 198 excludes goods covered by Serial No. 199, which attract a concessional rate of duty. It was noted that the comma in Serial No. 198 does not restrict the expression "all goods" but only signifies the excluded goods, i.e., trimmed or untrimmed sheets/circles of copper. The Tribunal highlighted that the law maker provided a separate serial number for copper strip and foil for specific use, emphasizing the conditions for availing exemptions under Serial No. 198. The condition regarding the manufacturer of copper from ore or concentrate was deemed inapplicable to goods exempted under Serial No. 197.

3. Decision: After considering both sides' arguments and a detailed analysis of the Notification's provisions, the Tribunal rejected the Revenue's appeal. It concluded that the benefit of Serial No. 198 was applicable to all goods under Heading No. 74.09, except for the excluded categories specified under Serial No. 199. The Tribunal's decision was based on a thorough interpretation of the Notification's clauses and the specific conditions outlined for availing exemptions under different serial numbers.