Final assessment cannot be reopened by reclassifying duty-paid branded goods for SSI exemption turnover computation.

Goods cleared on payment of full duty with affixed brand names could not be retrospectively treated as unbranded for recomputing aggregate clearances under the SSI exemption notification. Because the relevant assessments had attained finality and the Revenue had not challenged or revised them through the prescribed appellate or review process, the Tribunal held that such clearances could not be recharacterised to reopen turnover computation. The demand based on that reclassification was therefore unsustainable, the impugned order did not stand, and consequential relief followed for the assessee.

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Issues: Whether goods cleared on payment of full duty with affixed brand names could be treated as unbranded for computing the aggregate value of clearances under the SSI exemption notification and whether the demand based on such reclassification was sustainable.

Analysis: The Tribunal noted that the assessments for the relevant year had attained finality and that the Revenue had not challenged or revised those assessments through the appropriate appellate process. In the circumstances, goods already assessed and cleared on payment of full duty could not be subsequently treated as unbranded merely to reopen the turnover computation under the exemption notification.

Conclusion: The impugned order confirming the demand could not stand and the appeal succeeded.

Final Conclusion: The demand was set aside and consequential relief followed in favour of the assessee.

Ratio Decidendi: Final assessments cannot be indirectly reopened for SSI exemption computation by recharacterising duly assessed clearances without resort to the prescribed appellate or review .

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