9911796707
TMI Blog2017 (8) TMI 1266X X X X Extracts X X X X X X X X Extracts X X X X ..... ong with the relevant N/N. 29 and 30/2008 CE NT dated 01.07.2008, it is evident that the Compounded Levy Scheme notified mandatorily required the manufacturer to pay duty as per the number of FFS machines installed in the factory. The manufacturer has the option of getting his machines sealed to avoid demand of duty under the above scheme - it is not disputed that the machines were installed in the factory and not sealed on 01.07.2008 i.e. available for manufacture of Pan Masala on 01.07.2008. Consequently, in terms of the scheme notified under Section 3A, the appellant is liable to pay duty for one day on 01.07.2008 for the machines which were installed in the factory and are sealed. Appeal allowed - decided partly in favor of appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to duty, under Section 11AC. Aggrieved by the impugned order, the present appeal has been filed. 2. With the above background we heard Shri Manish Pushkaran ld. Advocate for the appellant as well as M.R. Sharma DR. 3. The ld. Counsel for the appellant submitted that the demand comprised of two parts- i) For Pan Masala packed in pouches with the aid of packing machines payable for one day i.e. on 01.07.2008. (ii) Duty payable on pan Masala packed manually in tin containers. 4. In respect of Pan Masala packed manually tin containers the ld. Counsel submitted that the Compounded Levy Scheme was not applicable to such goods as has been clarified by the CBEC (Tax Research Unit) vide circular dated 04.08.2008. Since there was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s sealed to avoid demand of duty under the above scheme. From the record, we find that on 02.07.2008, the appellant has requested the Department to seal all their machines. Accordingly from 2.07.2008 onwards there is no duty liability on the appellant. However, it is not disputed that the machines were installed in the factory and not sealed on 01.07.2008 i.e. available for manufacture of Pan Masala on 01.07.2008. Consequently, in terms of the scheme notified under Section 3A, the appellant is liable to pay duty for one day on 01.07.2008 for the machines which were installed in the factory and are sealed. 8. In view of the above, the impugned order is modified and the duty demand attributable to the Pan Masala packed manually in tin cont ..... X X X X Extracts X X X X X X X X Extracts X X X X
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