At, Customs Excise Service Tax Appellate Tribunal Regional Bench Allahabad
By, THE HONORABLE JUSTICE: ANIL CHOUDHARY
By, MEMBER AND THE HONORABLE JUSTICE: ANIL G. SHAKKARWAR
For Petitioner: Sandeep Kumar Singh, Dy. Commissioner (AR) And For Respondents: Deepak Kumar Bajpai, CA
1. The present appeal is filed by the Revenue against Order-in-Appeal No. 194-CE/APPL/KNP/2010, dated 30-3-2010 passed by Commissioner (Appeals), Customs & Central Excise, Kanpur. The issue in this appeal, as it appeared to Revenue, is that the respondents are registered manufacturer of finished goods on job work basis for Sahara India Ltd., and clearing the same on payment of duty @ 8%. The respondents were of the view that their finished products fell under chapter 49, wherein the goods are not dutiable.
2. Heard the parties and perused the records.
3. It is seen that subsequently, the Chief Commissioner of Customs, Central Excise and Service Tax, Lucknow, vide his communication No. V(30)CCO/LKO/Tech/12/2010/705, dated 12-2-2010 under the subject - Classification of Continuous computer stationery in the form of Carbon Leaflet/Money Receipts; have clarified relying on Board's Circular No. 11/91-CX.4, dated 15-10-1991, have stated the entry of Chapter Heading 4820 reveals that it does not cover printed sheets, used for some specified purpose. In the instant case, the subject receipts are nothing but the printed separate sheets, running in length, used by specific customer (Sahara) for a specified purpose. Chapter 49 of the tariff exclusively covers the leaflets and similar matter and the subject receipts are nothing but the printed carbon leaflets. In fact, the subject item is more of a product of printing industry as the leaflets/receipts attains the usable form only after printing. To make it more elaborate, it is not merely the paper or stationery but the printing on it that gives it the worth, hence the subject item reflects more a member of Chapter 49 family, compared to Chapter 48. The ld. Chief Commissioner also took notice that similar products were being classified under Chapter 49 in the other Commissionerates in the country.
4. Accordingly, following the classification by the learned Chief Commissioner office, the Commissioner of Customs, Central Excise, Kanpur vide communication dated 11th February, 2010 clarified to the respondent-assessee that in respect of the finished products manufactured by them namely money receipts for Sahara Parivar - Interleaved with Carbon was classifiable under Chapter Heading 4901. The learned counsel for the assessee have also relied on the order of the ld. Commissioner (Appeals) dated 22-1-2010, wherein also the Commissioner (Appeals) in the assessee's own case reported at 2010 (261) E.L.T. 776 have held that the goods manufactured by the assessee are covered under Chapter 49. Having considered the rival contentions, clarification by the Chief Commissioner, I find that the very basis of the show cause notice that the finished products manufactured by the respondents a
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re classifiable under Chapter 48 no longer exists. Accordingly, we hold that the order of the ld. Commissioner (Appeals) impugned herein is correct and requires no interference. Accordingly, the appeals of Revenue are dismissed. The respondents will be entitled to consequential benefits in accordance with law.