2015 (4) TMI 534 - AT - Central Excise

Waiver of pre deposit - Manufacture of gutkha and pan masala - if one machine was used for packaging of pan masala having two RSP and the appellant have to pay double duty by treating the machine as being two machines - Bar of limitation - Held that - Rule 8 of Pan Masala Packaging Machines (Capacity Determination and Collection of Duty) Rules, 2008 would be applicable only when pan masalas with two RSPs falling under two different slabs are manufactured. As long as the slab remains only one and both the RSPs fall under the same slab, the machine has to be treated as one packing machine only - Following decision of Phool Chand Sales Corporation vs. CCE, Lucknow reported in 2012 (11) TMI 476 - CESTAT, NEW DELHI - Stay granted.

Summary

The duty of Rs. 75,00,000 confirmed against the appellant for manufacturing gutkha and pan masala with MRP of 50 paisa. Appellant required to pay double duty as one machine was used for packaging. Tribunal decision cited, granting waiver of pre-deposit and stay on recovery.