9911796707
TMI Blog1990 (2) TMI 164X X X X Extracts X X X X X X X X Extracts X X X X ..... f printing industry at nil rate of duty. A show cause notice was issued to them on 27-4-1987 proposing to classify the product under Tariff Heading 4818.90 at the rate of 12% ad valorem or under Heading 4818.13 at the rate of 15% ad valorem depending upon from which paper they were manufactured. In reply to the show cause notice, the appellants contended that the said product had to undergo two more operations, viz., cutting and creasing and pasting before it was used as packing cartons. At the time of personal hearing the factory Manager of the appellants stated before the Assistant Collector of Central Excise, as it appears from the Assistant Collector s order that the craft paper was supplied by M/s. G.T.C. and the appellants company on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... has observed that Heading 4901.00 relates to products of paper printing industry which should include the printed duplex board. Being agrieved by the decision of the Collector (Appeals), the Revenue has filed the present appeal before us. 2. We have heard Shri Chandrasekharan for the appellant and Shri Swaminathan for the respondents. During the hearing before us, both the learned SDR and the learned consultant have claimed the classification of the impugned products under Heading 4811.90. The learned consultant has also claimed the benefit of Notification No. 49/87-C.E., dated 1-3-1987 which relates to converted type of paper. In support of his contention that the respondents printed duplex board and craft paper are converted types of b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... paper and duplex board is under Tariff Heading 4818.90. For proper appreciation of this Heading, we reproduce below the main Tariff Heading 48.18 alongwith its sub-headings during the relevant period as under :- 48.18 OTHER ARTICLES OF PAPER PULP, PAPER, PAPERBOARD, CELLULOSE WADDING OR WEBS OF CELLULOSE FIBRES - - Cartons, boxes, containers and cases (including flattened or folded boxes and flattened or folded cartons), whether in assembled or unassembled condition: 4818.11 - - Intended for packing of match sticks 4818.12 - - Printed cartons, boxes, containers and cases, made wholly out of kraft liner or kraft paper of Heading No. 48.04 or corrugated paper and pape ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ut into duplex board of 110 cm x 91 cm into four pieces of 55 cm x 45.5 cm. During the hearing, he has filed one sample of the printed material before us which is in the form of a sheet and is not converted into flattened or folded cigarette slides, boxes or cartons. We, therefore, are of the view that these printed sheets are not classifiable under Tariff Heading 4818.90 4. The Collector (Appeals) has classified these printed sheets under Tariff Heading 4901.00. During the relevant period this Tariff Heading read as follows :- 49.01 PRINTED BOOKS, NEWSPAPERS, PICTURES AND OTHER PRODUCTS OF THE PAPER PRINTING INDUSTRY; MANUS.C.RIPTS, TYPES.C.RIPTS AND PLANS 4901.10 - Transfers (decalcomanias) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the description of the Tariff Heading 49.01 and the sub-headings thereunder, we are of the view that these printed sheets of duplex paperboard and craft paper are not classifiable under Tariff Heading 4901.00. 5. During the hearing before us, the learned DR and the learned consultant for the appellant and respondents respectively have pleaded that the correct classification of these printed sheets should be under Tariff Heading 4811.90. Heading 48.11 and the sub-headings thereunder, as they existed during the relevant period were as under:- 48.11 PAPER, PAPERBOARD, CELLULOSE WADDING AND WEBS OF CELLULOSE FIBRES, COATED, IMPREGNATED, COVERED, SURFACE-COLOURED, SURFACE-DECORATED OR PRINTED, IN ROLLS OR SHEETS OTHER THAN ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the printed sheets of craft paper and duplex paperboard is under Heading 4811.90 - Other of the Central Excise Tariff Act as it existed during the relevant period. 6. The learned consultant for the respondents has raised two new points, viz., that the appellants products are converted type of paper fully exempted under Notification No. 49/87-C.E., dated 1-3-1987 and that the process of printing and cutting undertaken by the respondents did not amount to manufacture. These new points were not raised before the lower authorities and they have been raised for the first time during the hearing before us. The lower authorities did not have any occasion to examine these two points. In the circumstances, we set aside the impugned order and ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
