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TMI Blog2012 (11) TMI 249X X X X Extracts X X X X X X X X Extracts X X X X ..... ing the said bills of entry allowed the appellant to clear the goods from SEZ. It is also his submission that the officers were fully aware as to the process undertaken by the appellant The process (A) & (B) & (C) would be covered under the concept of manufacture, as there is no finding that the goods were marketable dehors all or any one of these process; the bland allegations of deodorant cans to be finished goods would not be sufficient to hold so. Invoking Extended period of Limtation - It is the submission that the entire show-cause notice is hit by limitation as the show-cause notice is issued on 21/06/2010, while the demands are for the period from February, 2006 to December, 2009. It is his submission that the extended time beyon ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fumes, and beauty products. The Revenue authorities were of the view that as per the definition of manufacturing of goods in the SEZ Act, 2005, the appellant herein has to carry out some manufacturing activity and then only clear the products to DTA unit. After investigating and recording the statements of various persons, the lower authorities felt that the appellant had not followed the provisions of law correctly and was engaged in clearance of goods into DTA without carrying out any manufacturing activity as per Section 2(r) SEZ Act, 2005 and as such they were not entitled for the benefit of exemption of additional duty of customs leviable thereof under sub-section-5 of Section-3 of Customs Tariff Act, 1975 and are liable to pay diffe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re show-cause notice is hit by limitation as the show-cause notice is issued on 21/06/2010, while the demands are for the period from February, 2006 to December, 2009. It is his submission that the extended time beyond the period of 6 months cannot be invoked in this case as there was no mis-declaration. It is his submission that the appellant had always indicated authorities regarding availment of benefit of notification No.45/2005-CUS, at the time of clearance of goods from SEZ to DTA. It is his submission that the issue involved in this case has been blown out of proportion in as much as during the material period, they had filed bills of entry with officers, who after assessing the said bills of entry allowed the appellant to clear the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h sides we finds that the issue involved in this case is regarding the leviability of additional duty of customs under Sub-section-5 of Section-3 of the Customs Tariff Act, 1985 (commonly known as CVD). We find that the appellant is a unit situated at KASEZ with proper letter of authority issued by the Development Commissioner of KASEZ. The contention of appellant is that they are importing various types of perfumes, some of them are consumed in the manufacturing of products, some of the products are finished goods and in respect of finished goods, appellant undertakes the process of spray testing, checking of appearance, fragrance and then packing them in their own cartons and after labeling DTA clearance is sought after filing Bill of Ent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at it came to the knowledge of the Department that the said unit was evading payment of Additional duty by misusing the exemption Noti.No.45/2005 Customs dated 16/05/2005. Thus I hold that the extended period of limitation is available to the department for issue of this show cause notice. 10. It can be seen from the above referred findings of the Adjudicating Authority that he has misconstrued the entire issue on limitation. We find that the Tribunal vide its order dated 20th September, 2005 in the appellant s own case as regards the activities conducted by the appellant, recorded the following findings: We find that all manufacture cannot be judged with reference to section 2(1) of the Central Excise Act 1944. In fact the board vide ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r SEZ Act. Our view is also fortified by the fact that the office of the Development Commissioner of KASEZ had written a letter to the appellant which we reproduce: Kandla Special Economic Zone No.KASEZ/IA/1165/84/Vol.III/2075 Dated June 19,2001. M/s.Baccarose Perfumes Beauty Products Pvt. Ltd. Plot No.3/1, Sector-III Kandla Special Economic Zone. Sub: DTA Sales benefits matter regarding. Sirs, I am directed to refer to the correspondence resting with your letters No. Nil dated 04-11-2000 and to inform you that the KASEZ Board of Approval has since decided that your activities in Stage-II III operations are covered under manufacturing activity as per the Exim Policy and that DTA benefit ma ..... X X X X Extracts X X X X X X X X Extracts X X X X
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