9911796707
TMI Blog2013 (4) TMI 438X X X X Extracts X X X X X X X X Extracts X X X X ..... h are taken up together for disposal. 2. The appellants were engaged in the manufacture of Bus Body (Passenger) vehicle, Lorries including Water Tankers mounted on chassis classifiable under heading No.8702/8704 of the Central Excise Tariff Act, 1985. They fabricated water tanker and mounted on the chassis. Water tanker lorries were cleared without payment of duty by availing exemption Notification No.162/86 dt. 1.3.86. Show Cause Notices were issued proposing demand duty and to deny exemption notification. The adjudicating authority dropped demand of duty of Rs.14,969/- for clearances on 23.7.93 and 8.10.93 and Rs.19,799/- for clearances on 26.2.93, 13.4.93 and 21.5.93 on the basis of Notification No.9/96-CE (NT) dt.17.5.96 issued under S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cation 9/96. He also submits that Exemption Notification No.9/96 is restricted only to parts or a component. He submits that the water tankers manufactured out of MS sheets are dutiable item under sub heading 7309.00 and not covered by Notification 9/96 (supra). 5. After hearing both the sides, and on perusal of the record, the relevant portion of the Notification No.9/96-CE (NT) dt. 17.5.96 is reproduced below :- Whereas the Central Government is satisfied that according to a practice that was generally prevalent regarding levy of duty of excise (including non-levy thereof) under section 3 of the Central Excises and Salt Act, 1944 (1 of 1944), the duty of excise on parts and components fabricated and captively used for building a body on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ters 73 or 83 or 86, but are more appropriately considered as parts of motor vehicles for carriage of goods, or trailers or tanker wagons since they have no other use and are specifically designed for them. It has been clarified that container/tank fabricated for mounting on chassis (Heading No.8706) in the manufacture of road tankers (Heading No.8704)would be regarded as fabrication of bodies for motor vehicles under Heading 8707 or fabrication of bodies for trailer/semi-trailer (Heading 8716). 7. After considering the facts of case and in view of Board's circular dated 13.1.1989, we have no hesitation to hold that, in the present case, the fabricated water tank, mounted on chassis would be considered as parts and components captively use ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
