9911796707
TMI Blog1994 (8) TMI 131X X X X Extracts X X X X X X X X Extracts X X X X ..... a Oil. 3. A dispute has arisen as to whether Arnica Oil was classifiable under Chapter 33 as cosmetic and toilet preparation falling under Chapter 3305.10 or it was classifiable under 3303.30 as homeopathic medicine. 4. First and foremost, we would like to point out that the demand is time-barred. 5. The show cause notice was issued on 5-11-1992 and the demand relates to the period 12-7-1987 to 24-10-1988, i.e., much after the normal period of six months. 6. It was their contention that the longer period of limitation was not attracted in this case as the Department was aware that they were manufacturing Arnica Oil and the Superintendent had himself written a letter to them asking for detailed particulars regarding the method of man ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd asked for its re-test but the department did not conduct a re-test and therefore the report lost validity, (On the contrary they had produced a certificate to the effect that it was a homeopathic medicine.). In this connection he will draw attention to Rule 56 as well. 12. It was also their submission that all the ingredients of their product are in accordance with Homeopathic Pharmacopoeia and it does not contain any added perfume. The essential ingredient is Arnica Montana which is a recognised homeopathic medicine, and the aroma is natural to its flowers from which it is extracted. 13. It was also their submission that the calculation of demand of duty is also incorrect in as much as the discount given by them has not been taken i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d was chargeable to duty as such. 16. We have considered the above submissions. We observe that looking to the totality of facts and circumstances prima facie the appellants appear to have a better case on time bar in as much as the departmental officers did not issue the Show Cause notice for a long time even after the receipt of the relevant information. 17. The question which arises even at this stage is as to how the classification list initially filed was approved. Copies filed are not very clear and legible but once the appellants had declared that they were also manufacturing Homeopathic medicines, this aspect was required to be taken into cosideration by the proper officer. Of course, the details were required to be furnished by ..... X X X X Extracts X X X X X X X X Extracts X X X X
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