2005 (3) TMI 285 - AT - Central Excise

Summary

Issues:
- Classification of control panels under Chapters 84 & 85 of the CETA Schedule
- Eligibility for exemption under Notification No. 205/88 for wind-operated electricity generator control panels

Analysis:
The appeals before the Appellate Tribunal CESTAT, CHENNAI involved the classification of control panels manufactured by the respondents under Chapters 84 & 85 of the CETA Schedule and the eligibility for exemption under Notification No. 205/88 for control panels suitable for wind-operated electricity generators. The original authority had denied the benefit of the Notification, stating that the control panels were part of wind turbine generators and not covered by the Notification. However, the first appellate authority accepted the assessee's claim that the control panel was a part of a wind-mill falling under Sl. No. 12 of the Notification, thereby extending the benefit of the Notification to the subject goods.

It was noted that the learned Commissioner (Appeals) had based his decision on his earlier order passed in the same assessee's case for a different period. The respondents' consultant highlighted that the Tribunal had previously rejected the department's appeal against the earlier order. Referring to the Tribunal's Final Order Nos. 648 to 652/2002, it was established that the subject goods were considered part of a wind-mill covered by Sl. No. 12 of the Table annexed to Notification No. 205/99-C.E. Consequently, the benefit of exemption was deemed available to the control panels.

In line with the precedent set in Final Order Nos. 648-652/2002, the Appellate Tribunal upheld the order of the Commissioner (Appeals) and dismissed the Revenue's appeals. The operative portion of the order was pronounced in open Court on 3-3-2005.