1998 (3) TMI 206 - AT - Central Excise

Summary

Issues:
Classification of Rectangular Casserole under Notification No. 67/88, dated 1-3-1988.

Detailed Analysis:
The appeal arose from the ld. Collector of Central Excise (Appeals) holding that Rectangular Casseroles did not qualify as tableware under Notification No. 67/88. The appellants claimed the item was chargeable at a concessional rate as per the notification. The ld. Collector (Appeals) concluded that Rectangular Casseroles did not fit the definition of a plate or bowl and were not covered by the notification. The appellants challenged this decision, arguing that Rectangular Casseroles were used for serving food, thus qualifying as tableware.

The appellants contended that Rectangular Casseroles were tableware, citing technical literature and affidavits. They emphasized that the product's predominant use was for serving food, even if it could also be used for baking. They argued that the ld. Collector (Appeals) should not have solely relied on dictionary meanings and should have considered the technical aspects. The appellants referenced previous tribunal decisions to support their claim.

The Respondent Commissioner argued that Rectangular Casseroles were not specifically listed in the notification as eligible for concessional duty. The lower authorities examined dictionary meanings and common parlance to determine that Rectangular Casseroles did not qualify for the benefit of the notification. The Respondent prayed for the appeal's rejection based on these findings.

Upon hearing both sides, the Tribunal analyzed the classification list, which described the item as Rectangular Casserole. The Tribunal noted that while the product fell under the category of glassware used for various purposes, the dispute focused on its eligibility for concessional duty under the notification. The Tribunal emphasized that the notification specified certain items eligible for the concessional rate, such as Jugs, Cups, Plates, Drinking glasses, and Bowls. It highlighted the principle of strict interpretation of tax statutes and exemptions in favor of the Revenue.

The Tribunal considered technical literature and affidavits provided by the appellants, which indicated that products like cake dishes and casseroles were considered tableware. However, the Tribunal found that the appellants failed to demonstrate how Rectangular Casseroles fit within the specified categories eligible for concessional duty under the notification. Referring to a previous tribunal decision, the Tribunal concluded that Rectangular Casseroles did not qualify for the benefit of the notification. In light of the ambiguity, the Tribunal ruled in favor of the Revenue, holding that Rectangular Casseroles were not eligible for the concessional rate under Notification No. 67/88. Consequently, the appeal was rejected.