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TMI Blog2005 (8) TMI 532X X X X Extracts X X X X X X X X Extracts X X X X ..... ed to in the Notification is to mean that the goods should not undergo any process of change. This change has not taken place admittedly on being repacking. Therefore, invocation of Chapter Note of Chapter 29 to hold that the goods have not been sold as such is not correct in the light of the interpretation placed by us. The goods have remained the same and they have sold as such and paid the sales tax. Therefore, the view taken by the department that the goods are not sold as such on being repacked is not a correct one as there is no such definition given to the term as such in the Notification. So long as the same goods are sold as such either in the same condition or in the repacked condition, the benefit cannot be denied to them. Moreov ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he appeal is allowed. - Dr. S.L. Peeran, Shri T.K. Jayaraman, JJ. REPRESENTED BY : S/Shri G. Shiva Dass and M.S. Srinivasa, Advocates, for the Appellant. Shri Ganesh Havanur, SDR, for the Respondent. [Order per : S.L. Peeran, Member, (J)]. This appeal arises from OIO No. 04/2002, dated 25-1-2002 confirming demands of Special Additional Duty (SAD) on the import of Aromatic Chemicals in respect of 14 Bills of Entries noted in the order. They claimed benefit of Customs Notification No. 56/98-Cus., dated 1-8-1998 which grants exemption from payment of SAD which has been denied in the impugned order and hence this appeal. 2. It is the contention of the appellants that the Notification clearly exempts the levy of SAD on goods, which are importe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed all the details and the Show Cause Notice dated 25-8-1999 has been issued after six months for a period 14-11-1998 to 20-3-1999. It is contended that the Department was aware of all the facts about the appellant filing the declaration for non-payment of SAD and, therefore, the larger period was not invokable. It is further submitted that Finance Bill, 2005 was enacted on 13-5-2005 which has omitted Section 3A of the Customs Tariff Act to levy SAD on the imported goods. Therefore, the proceedings initiated for levy of SAD under the omitted Section 3A of the Customs Tariff Act does not get saved under Section 6 of the General Clauses Act. It is their further submission that the goods have been sold as such without being subjected to any pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or purchase in India, therefore, the rates of SAD are specified in the Notification. However, it exempts, if the imported goods are sold as such and when the sales tax is paid. In this case, sales tax is being paid by the assessee, which is not in dispute and, therefore, the levy of SAD does not arise as the purpose of imposing SAD, was to make it par with the sales tax paid by the local manufacturer. The authorities have proceeded to invoke Chapter Note under Section 28 to hold that the imported goods are not sold as as such , but there is a process of manufacture in repacking the goods for retail sale. On a careful consideration, we notice that this legal fiction on manufacture incorporated in the Chapter Note of the Excise Tariff cannot ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Duty on the repacked tea and, therefore, the repacked commodity was commercially different from the unpacked tea. The High Court rejected the above contention and held that tea continues to retain its identity even after the process of blending and repacking and that the definition in Central Excise Law cannot be used to interpret the Sales Tax Law. In the light of this ratio, we hold that the invocation of Chapter Note of Chapter 29 to hold that the goods are different on repacking is not a correct view taken by the Commissioner. The goods remained as such even on repacking as they had not undergone any change. Further, we agree with the contention of the appellant that the demands are time barred. As they had already filed all the detai ..... X X X X Extracts X X X X X X X X Extracts X X X X
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