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TMI Blog2006 (1) TMI 420X X X X Extracts X X X X X X X X Extracts X X X X ..... dated 10-12-2002 and sought benefit of Notification Sl. No. 1(d) of 94/96-Cus., dated 16-12-1996. The goods were assessed to Central Excise Duty of 16% amounting to Rs. 3,17,123/- and Special Additional Duty (SAD) of 4% amounting to Rs. 91,966/-. The respondents protested the levy of SAD. The AC, in his order dated 27-3-2003, held that there is no specific exemption for SAD under the said Notification though the Notification 23/2002, dated 1-3-2002 at Sl. No. 56 covers exemption of SAD for the goods exempted wholly from Basic Customs Duty and Additional Duty of Customs. The above Notification No. 23/2002 cannot be applied as the goods were charged to Additional Duty of Customs. Aggrieved over the order of the original authority, the respond ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... try to 1(d), SAD was paid, as it was not exempted under Notfn. 23/2002, which is the principal notification for its exemption. 4. Shri K.S. Bhatt, the learned SDR appeared for the Revenue and the respondents are not present and have requested to decide the case on merits. 5. The learned SDR reiterated the Grounds of Appeal. 6. We have gone through the records of the case carefully. The respondents exported the machinery for exhibition purpose under Bond without payment of Central Excise Duty. When the goods were re-imported, they availed the benefit of Notification No. 94/96-Cus., dated 16-12-1996. The said goods are exempted from the following duties on re-import - (i) Basic Customs Duty, which is leviable as specified in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... both from Basic Customs Duty and Additional Duty of Customs. Hence, by virtue of Notification 23/2002, the impugned goods are exempted from the SAD also. The fact that the impugned goods, on re-importation paid Central Excise Duty should not be taken to mean that they are not exempted from payment of Additional Duty of Customs (CVD). Revenue has equated Central Excise Duty with CVD. CVD is only equal to Central Excise Duty. Central Excise Duty is levied under the Central Excise Act, but CVD or Additional Duty of Customs is leviable under Section 3 of the Customs Tariff Act. Hence, Revenue s contention that CVD is mentioned against entry 1(d) of Notification No. 94/96-Cus. is not correct. Against entry 1(d), what is mentioned is Central Exc ..... X X X X Extracts X X X X X X X X Extracts X X X X
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