2004 (12) TMI 562 - AT - Central Excise

Tribunal grants waiver & stay in duty dispute over 'scientific equipment' exemption

The Tribunal granted the appellants' request for waiver of pre-deposit and stay of recovery concerning a duty amount of Rs. 29,600. The dispute centered ... Stay/Dispensation of pre-deposit Issues:1. Waiver of pre-deposit and stay of recovery regarding duty amount.2. Interpretation of whether a printing machine qualifies as 'scientific equipment' under Notification No. 10/97-C.E.Analysis:The case involved the appellants seeking waiver of pre-deposit and stay of recovery for a duty amount of Rs. 29,600 imposed by the lower appellate authority. The dispute arose from the denial of exemption under Notification No. 10/97-C.E. for a printing machine supplied to a college. The appellants argued that the printing machine should be considered 'scientific equipment' as per the notification, while the Revenue contended it was merely machinery. The appellants relied on Note 5 to Section XVI of the Central Excise Tariff Schedule, asserting that 'machine' includes 'equipment.' The Revenue, however, argued that Note 5 did not mention 'scientific equipment.'Upon careful consideration, the Tribunal found that the appellants had a prima facie case as they appeared to have met all essential conditions for exemption under the Notification. Consequently, the Tribunal granted the waiver of pre-deposit and stay of recovery as requested by the appellants. The decision was made after evaluating the arguments presented by both parties and determining that the appellants had a valid case for exemption based on the provisions of the Notification and relevant tariff schedules.