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TMI Blog2010 (11) TMI 735X X X X Extracts X X X X X X X X Extracts X X X X ..... ading 8536 are to be classified in the CTH 8536 as held by lower authorities. The argument of the applicant that by classifying goods in CTH 8536 he gets lower drawback has no legal force and same cannot be entertained in these proceedings. As such, Government finds no infirmity in the impugned order-in-appeal and upholds the same, revision application thus rejected as being devoid of merits - 375/03/DBK/2009-RA-CUS - 394/2010-Cus, - Dated:- 11-11-2010 - Shri D.P. Singh, J. [Order]. This revision application has been filed by the applicant M/s. Ajanta Electricals, Phagwara (Punjab) against the order-in-appeal No. C.C.(A) Cus/ICD/378/2008, dated 17-10-08 passed by the Commissioner of Customs (Appeals), New Delhi. 2. Brief fac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... process of the parts of lamp holders pass through many stages. The same has been explained by way of various flow charts. Considerable material is lost during the stages of process of manufacture. The applicants pay total duty on lamp holder which comes to Rs. 3.60 per piece. If the claim of the department that the applicants are entitled only to 4% of duty drawback they are getting only a drawback of Re. 0.76 per piece, whereas, they have paid the duty of Rs. 3.60 per piece as the excise duty. Therefore, both the authorities have taken a wholly erroneous view that the lamp holders were classifiable under Heading 8536. Hence, the impugned order merits to be quashed. (c) That both the authorities below have failed to appreciate that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ect of duty drawback scheme. The applicants have shown that they are paying Central Excise duty of Rs. 3.60 per piece. Whereas, if the view of the lower authorities are accepted, they are entitled only to a duty drawback of Re. 0.76 P. per piece. This view of the Customs Department which has been upheld by the Commissioner (Appeals) is contrary to the scheme of the duty drawback. It is an internationally accepted principle that goods to be exported out of a country are relieved of the duties and taxes borne by them at various states of their manufacture in order to make them competitive in the international market. The most widely accepted method of relieving such goods of the said burden is the scheme of drawback. Thus in order to make Ind ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... further widened in 2006 when Service tax was also taken into account in framing the Drawback Schedule. Now drawback includes Service tax paid on input services used in the manufacture of export goods. (e) In view of the above object of the Scheme of duty drawback the orders of the lower authorities cannot be sustained in the eyes of law. The applicants are entitled for duty drawback at least equal to the duty which the goods had suffered by way of duty of excise at their end. (f) That both the authorities have failed to appreciate that onus to prove that goods are classifiable under a particular heading is always on the department which they have to discharge by bringing sufficient evidence on record. In the present case no su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... orities. 6. Government notes that the articles i.e. lamp holders made of brass (a complete article) exported under claim of drawback were classified under CTH 85381 02 which attract the duty drawback 18% whereas the respondent contention is that the impugned exported articles are classifiable under CTH 8536 which attracts the duty drawback @ 4%. The order-in-original classifying the lamp holders under CTH 8536 was upheld by Commissioner (Appeals). 7. Applicant has mainly contended that the product is exported @ Rs. l9/- per pc. And the drawback @ 4% as allowed by department come to Rs. 0.76 paise whereas they have suffered duty of Rs. 3.60 per pc. Applicant has also pleaded that their product is rightly classifiable under drawback sch ..... X X X X Extracts X X X X X X X X Extracts X X X X
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