9911796707
TMI Blog2005 (5) TMI 115X X X X Extracts X X X X X X X X Extracts X X X X ..... eas into black tea. The teas so received as input had been subjected to tea cess also. The appellant availed of Modvat credit facility for payment of duty on black tea manufactured by it. However, no cess was paid on the black tea manufactured and cleared. The impugned order has demanded cess of about Rs. 2 lakhs in respect of black tea so cleared during the part of 1999. The' present appeal is di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ara 6 which reads as under : "6. In order to satisfy the definition of 'tea' under Section 3(n), a product be commercially known as tea and it should be made from the leaves of the plant of Camellia Sinensis (L) O. Kuntze. 'Instant tea' satisfies both these conditions By the very name, the product namely 'instant tea' conveys 'that it is a 'tea'. The term 'instant tea' is not the brand name of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... O. Kuntze. In these circumstances the 'instant tea' is covered by the definition of tea within the meaning of Section 3(n). Once 'instant tea' falls within the definition of Section 3(n), a cess can be levied on it under Section 25 of the Act. In our view, the Commissioner (Appeals) was right in upholding the order of the Assistant Commissioner but the Tribunal went wrong in holding that 'instant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for the period prior to the date of Notification (11-11-1999). With regard to the Notification, the submission of the learned Counsel for the appellant is that it can be treated only as clarificatory. The appellant has further pointed out that with regard to cess under other statute too cess is being collected only at one stage of production. Reliance is being placed on the Circular issued by the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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