2000 (2) TMI 498 - AT - Central Excise

Summary

Issues Involved:
- Whether the exemption under Notification No. 1/93-C.E. can be claimed by the appellant after opting not to claim it initially.

Analysis:
1. Issue of Exemption Claim under Notification No. 1/93-C.E.:
- The appellant, a manufacturer of aluminium products, opted not to claim the benefit of Notification No. 1/93 while filing declarations initially. They later sought to avail the exemption under this notification for a specific period.
- The appellant's advocate argued that it is the assessee's prerogative to choose a beneficial scheme. They cited precedents like the Watts Electronics Pvt. Ltd. case to support their claim.
- The Revenue contended that the appellant's choice, once made, cannot be altered within the same financial year as per the proviso to Paragraph 4 of Notification No. 1/93. The Assistant Commissioner had already decided the duty rate applicable to the appellant.
- The Tribunal upheld the Revenue's argument, emphasizing that once an option is exercised to not avail of an exemption, duty must be paid on subsequent clearances in the same financial year. The decision in Shree Cables & Contractors case was distinguished as the facts were dissimilar.
- The Tribunal concluded that the appellant cannot change their option after opting out of the exemption, as explicitly stated in the notification's provision.

2. Duty Rate Dispute:
- The appellant contested the duty rate, claiming they should pay duty at a specific rate under Notification No. 180/88, not the 15% rate as decided by the Assistant Commissioner in a separate order.
- The Tribunal noted that the specific order on the duty rate was not presented in the current appeal. It was unclear whether an appeal was filed against that order and its outcome.
- The Tribunal ruled that the appellant is not entitled to the exemption under Notification No. 1/93 for the relevant period, and excise duty is payable without availing the said benefit.

In conclusion, the Tribunal held that the appellant cannot claim the exemption under Notification No. 1/93 after initially opting out of it in the same financial year. Additionally, the dispute over the duty rate was not fully addressed in the current appeal. The judgment reaffirmed the importance of adhering to the chosen options regarding exemptions and duty payments as per the relevant notifications and legal provisions.