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TMI Blog1986 (10) TMI 196X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Collector also demands differential duty of Rs. 1,324.62 on 10.035 tonnes of flats. The learned counsel for M/s. United Metal Industries, Mr. Beri, however, said that they are not pressing the second matter. 2. The main problem arose, because M/s. United Metal Industries imported 903.335 metric tonnes MS billets from the United Kingdom and made products like MS flats, angles and squares. They took exemption under notifications No. 206/63-C.E., 76/72-C.E. and 55/80-C.E. and cleared the goods out. The collector came to the conclusion that Notifications No. 206/63-C.E., 76/72-C.E. and 55/80-C.E. were not applicable, the first because it covered products under sub-item (ia) of item 26AA and, therefore, the notification was not applicab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble to the goods produced from the imported MS billets. He read the context of the three notifications and stressed the fact that duty at the appropriate rate is to be understood differently from duty of excise. In the proviso to notification No. 55/80-C.E. the words are on which duty at the appropriate rate has already been paid. When this is the phraseology, the exemption shuts out the narrow interpretation that only excise duty is in contemplation: duty can be any duty, whether it is customs duty or excise duty. Obviously the imported billets could not have paid any duty but customs duty; since they have paid the appropriate duty that was applicable to them, they have paid duty at the appropriate rate. They were not required to pay dut ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ble scrap on which the appropriate amount of duty has already been paid as is equivalent to the duty of excise leviable on the semi-finished steel. Here also the notification refers only to appropriate amount of duty and like notification 55/80-C.E., payment of the proper customs duty which includes an amount called the countervailing duty, a duty equal to the central excise duty on similar goods produced in India. The raw material i.e. MS billets have paid the appropriate amount of duty. 9. Notification No. 206/63-C.E. also exempts the products if made from billets on which the appropriate amount of duty of excise has already been paid. 10. The learned SDR said that the appeal has no merits and the MS billets not having paid the appr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under the Central Excise Rules. They have been named and identified as duties under the Customs Tariff Act, different from the duty , i.e. duty leviable under the Central Excise Act and rules and, therefore, the countervailing duty or additional duty leviable under the Customs Tariff Act is not duty leviable under the Central Excises and Salt Act and the rules. 12. When the notification refers to such duties, we know that they are not duties under the Central Excise Rules. And, therefore, when the notification speaks of duty, it can mean nothing but the duty to which rule 8, the exempting rule, is relevant. The exempting rule is one of the Central Excise Rules, 1944, another of which defines duty [in rule 2(v)] thus : Duty means the du ..... X X X X Extracts X X X X X X X X Extracts X X X X
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