9911796707
TMI Blog1999 (12) TMI 308X X X X Extracts X X X X X X X X Extracts X X X X ..... impugned order. 2. Shri Satnam Singh, learned S.D.R., submitted that the Actuators, manufactured by the Respondent, are geared motors which transform the electrical energy into mechanical power and are used to control or operate valves and as such are classifiable as electric motors falling under Heading 85.01 of the Tariff; that the inclusion clause B(3) of Chapter 85 of H.S.N. Explanatory Notes stipulates that electric motors would include Valve actuators , electricals, consisting of an electric motor with reducing gear and drive shaft and, in some cases, with various devices to operate the valve plug and accordingly the impugned product is classifiable under Heading 85.01. He further submitted that the decision in the case of National ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erein, the Tribunal classified the Electro Mechanical Actuator under Heading 84.66 of the Central Excise Tariff. The learned Advocate contended that in the light of these decisions, their product can not be classified under Heading 85.01 on the basis of the Explanatory Notes of H.S.N. 4. The learned Advocate also submitted that the demand of Central Excise duty is hit by time limit as the show-cause notice was issued on 5-4-1991 for demanding duty for the period from 1-3-1986 to 31-1-1991; that they were filing the classification list right from 1975; that the classification list effective from 1-3-1986 was approved by the Department; that full description of the product was mentioned in the classification list and as such there was no su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l Excise Tariff Act is based on H.S.N. and for understanding the Tariff Heading, Explanatory Notes of H.S.N. are to be referred to. It was held by the Apex Court in the case of C.C.E. Shillong v. Wood Craft Products Ltd. 1995 (77) E.L.T. 23 (S.C.) that for resolving any dispute relating to tariff classification, a safe guide is the internationally accepted nomenclature emerging from the H.S.N. This being the expressly acknowledged basis of the structure of Central Excise Tariff in the Act and the Tariff classification made therein in case of any doubt the H.S.N. is a safe guide for ascertaining the true meaning of any expression used in the Act. The Supreme Court also observed that the definition of a term in the ISI Glossary cannot in ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... artment for demanding duty. The Respondents have filed classification list which had been approved by the Competent Officer. In such a situation it cannot be claimed by the Revenue that there was suppression of facts by the Respondents. If the Revenue wanted to know the details regarding functioning of the impugned product before approving the classification list, the Department could have called for the same from the Respondents. The Department cannot demand duty for extended period by alleging that a detail regarding functioning of the product was not given with the classification list. The duty will be demandable only for the period of six months prior to the date of issue of show cause notice. The decision in the case of Cotspun Ltd, Su ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
