9911796707
TMI Blog1991 (8) TMI 176X X X X Extracts X X X X X X X X Extracts X X X X ..... arnishes falling under T.I. 14-1 of the C.E.T. They filed a classification list No. 3/84-85 dated 30-11-1984 for their product described as 219/002 Polybutadiene Epoxy Electro Deposition Primer claiming exemption under Notification 220/77. This Notification exempted goods, mentioned in the table annexed thereto, falling under Item 14 of CET of duty in excess of 10%. Sl. No. 7 of the table is Epoxy based primers and varnishes. They claimed the product to be Epoxy based primer. The classification list was approved provisionally under Rule 9B of the Central Excise Rules, 1944 by the Assistant Collector. Subsequently, the appellants filed refund claim for differential duty of 5%. The Department, however, took the view that the goods was not Epo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ellants description of the process of manufacture of the product. The test result was communicated to the appellants on 4-4-1985 which is as follows : The sample is in the form of light grey coloured thick paste. It is composed of synthetic resin (Epoxy type) mineral solvent and inorganic pigment. It gives tack-free costing on metallic surface. 2. On considering the appellants reply to the show cause notices and affording them the opportunity of personal hearing, the Assistant Collector held that the product, manufactured by the appellants, was not Epoxy based primer, but on the other hand, was Polybutadiene Resin based Electrocoat Primer. In arriving at this conclusion, the Assistant Collector referred to the Chemical Examiner s re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ess of manufacture would reveal that all the ingredients including Epoxy and a thinner were ground together in resin medium and solvents. It was, further, pointed out that the appellants have proved by the evidence of the amended purchase order from M/s. Maruti Udhyog that the order covered Poly-butadiene/Epoxy based paint. Therefore, it was submitted that the product, manufactured by them, was Epoxy based primer eligible for exemption under Notification 220/77. 4. Sh. M. Jayaraman, Ld. S.D.R. appearing for the Department, contended that even the description of the product shown by them in the classification list, does not say that it is Epoxy based and being a claim for exemption, it is for the assessee to prove by evidence that they are ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... what exactly is the resin medium referred to therein. This ingredient, namely, resin medium, is of significance in determining as to on what material, the product is based. It is in this context that the Maruti Udhyog s order becomes relevant which is placed for supply of Polybutadiene Resin based Electrocoat light grey. The appellants have also not stated, at any point, as to what this resin medium is. On the other hand, in their classification list No. 3/84-85 in the remarks column, it has been stated under the heading Details of raw-materials , Various Pigments, Epoxy Resins, Polybutadiene Varnish, Solvents. The fact that M/s. Maruti Udhyog had amended their order may not be of much help to the appellants because, admittedly, this am ..... X X X X Extracts X X X X X X X X Extracts X X X X
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