9911796707
TMI Blog1993 (6) TMI 100X X X X Extracts X X X X X X X X Extracts X X X X ..... ers-in-appeal and pass necessary orders. 2. The grounds of review being common were (a) that in the absence of specific notification issued under Rule 12 of the Central Excise Rules, 1944 invoking of its provisions with Section 3(4) of the Jute Cess Act, 1983 to grant rebate of cess paid is not admissible and (b) benefit of Rule 13 of Central Excise Rules would also not be available on the export of Jute goods without payment of duty. (actually this should be 'Cess'). 3. The respondent had filed refund claims of Rs. 8966.84 and Rs. 2428.01 paid as cess for goods exported between 1-5-1984 to 13-5-1984. Assistant Collector rejected the claim, but Collector of Central Excise (Appeals) allowed the appeals holding that it was only on 15-9-19 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that cess is payable by a producer of jute manufactures on every article as specified in "the schedule" to Cess Act, 1983 and that it will be in addition to any duty payable under Central Excises and Salt Act or any other law; that the provisions of Central Excises and Salt Act, 1944, relating to refunds and exemptions from duty will also in so far as it may apply to cess collected under Cess Act, 1983. Thus even before the Cess Rules were notified, the machinery for collection had been provided by reference to Central Excise Act. Hence Collector (Appeals) was in error in holding that cess collected prior to 15-9-1984 had to be refunded merely because it was under Rule 4 of Cess Rules that a provision was incorporated that no refund of cess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... id sub-section 4 of Section 3 of the Cess Act is reproduced below :- "The provisions of the Central Excises and Salt Act, 1944 (1 of 1944) and the Rules made thereunder, including those relating to refunds and exemption from duty, shall, so far as may be, apply in relation to the levy and collection of the duty of excise on jute manufactures under this Act." 10. Government observe that the benefit of Rule 12 and Rule 13 of the Central Excise Rules, 1944 is a procedural facility and not a substantive provision. The argument of the petitioners that in terms of sub-section 4 of Section 3 of the Jute Cess Act the facility under Rules 12 and 13 would automatically flow and bestow upon them the entitlement of refund is, not tenable for the fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se Rules, 1944. It therefore, follows that a notification issued under Rule 12 cannot ipso facto entitle refund or rebate of the jute cess even if the same is termed as a duty of excise. Government thus hold that even though Rule 12 is a procedural rule, the benefits under that rule could flow in respect of jute cess leviable under the Jute Cess Act only if it is expressly supported by a notification invoking the provisions of Rule 12 of the Central Excise Rules read with Section 3(4) of the Jute Cess Act, 1983. 13. Likewise Rule 13 of the Central Excise Rules, 1944 provides for facility of export under bond meaning thereby that exports of excisable goods can be made without payment of excise duty in terms of the bond. Such a facility, ho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... excise leviable in terms of the 1st Schedule to the Central Excises and Salt Act, 1944, the coverage of Rule 13, cannot transcendent the peripheral limits prescribed under Rule 12 ibid. In short, Rule 13 cannot enlarge any benefit beyond what flows from Rule 12 of the Central Excise Rules, 1944. Accordingly, the benefit under Rule 13 would not cover cases of jute cess unless the extension of the facilities under Rule 13 is specifically notified in terms of sub-section (4) of Section 3 of the Cess Act, 1983. 14. The judgment by the Tribunal in the case of M/s. Nelli Marla Jute Mills v. Collector of Central Excise, Guntur [1987 (12) E.C.R. 1018 (CEGAT SB) = 1987 (31) E.L.T. 209 (Tribunal)] thus become relevant, though that decision pertain ..... X X X X Extracts X X X X X X X X Extracts X X X X
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