M/s. Reliable Computer Forms (P) Ltd. Versus Commissioner of GST & Central Excise, Chennai
Central Excise
2019 (3) TMI 108 – CESTAT CHENNAI – TMI
CESTAT CHENNAI – AT
Dated:- 28-2-2019
Appeal No. E/41632/2013 – Final Order No. 40399/2019
Central Excise
Ms. Sulekha Beevi C.S., Member (Judicial) And Shri Madhu Mohan Damodhar, Member (Technical)
Shri S. Ramachandran, Consultant for the Appellant
Ms. T. Usha Devi, DC (AR) for the Respondent
ORDER
Per Bench
The appellants are engage in manufacture of manifold business forms including printed/ blank continuous computer stationery forms and printed cut sheet forms. Based on investigation, it appeared to the department that the products would be correctly classifiable under 4820 of CETA, 1985. However, the appellants were clearing all these impugned goods under the premise that they would fall under SSI exemption under Notification 8/2003-CX. Pursuant to investigation, show cause notice was issued to the appellant i
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m are not liable to central excise duty in view of various case laws.
2.3 He submitted that the manufacture of computer stationery and manifold business forms are correctly classifiable under Chapter 4901 and not under 4820 as held by Mehra Computers Systems Ltd. as reported in 2017-TIOL-3852-CESTAT-MAD.
2.4 He submitted that the Hon'ble Supreme Court in Commissioner of Central Excise Vs. Gopsons Papers Ltd. – 2015 (324) ELT 5 (SC) has held that printed thermal paper rolls are classifiable only under 4901 of CETA and not under 481190.
2.5 So also the Tribunal in the case of Data Processing Forms Pvt. Ltd. vs. Commissioner of Central Excise – 2014 (311) ELT 161 (Tri. Ahmd.) has held that stationery forms and statutory forms like pre-printed forms such as excise invoice forms, commercial invoice forms, letter head forms, PF slip forms etc. would require to be classified under only 49.11 and not 4820. He also placed reliance on the following decisions:-
a. Dy. Chief Manager (P&S) Cent
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ted in the synopsis indicating the working of how the turnover by them in each of the years 2006 – 07 and 2007 – 08 and the threshold limit for SSI is as under:-
2006 – 07
2007 – 08
Totals sales turn over as per Balance Sheet
22448674
20960900
Less Deductions allowed SCN work sheet Annexure III
118501
85772
Balance turnover
21266173
20875128
Less: Turnover of exempted goods – Chapter 49 items
LIC intimation letter Ch. 49.01
1729002
3632947
Share certificates, bus ticket, Indian airlines boarding pass, hall tickets, kishintha Entry Ticket – Ch. 49.01
350844
180605
RC Book, Tax card – Ch. 49.01
2503209
0
ID Card – Ch. 49.01
46.79
0
FD Form – Ch. 49.01
41600
Hall ticket for Madras University – Ch. 49.01
180605
4587734
4587734
3855152
3855152
Balance Tu
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I limits
1 Crore
1.5 crore
In the circumstances, we find it appropriate to remand the matter back to the original authority who will take note of in such re-adjudication and apply the ratios laid down in the decisions cited above. The authority shall look into the claim and after applying the ratio of these case laws, it is found that the impugned goods are required to be classified under CETA 4901 and not under CETA 4820, the authority shall exclude the turnover thereof from the taxable turnover for the purposes of the SSI notification 8/2003-CX. In case after such exercise, the taxable turnover is found within SSI exemption limit, present duty demand will consequently get extinguished. In any case, in view of the issue having been mired in litigation, no penalty will be imposable even on any remnant duty liability if arises upon such re-adjudication. The impugned order is set aside and the appeal is allowed by way of remand on above terms.
(Dictated and pronounced
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