Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
When case Id is present, search is done only for this
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
Don't have an account? Register Here
<h1>Tribunal clarifies cement sales exemption: Institutional vs. individual consumers, duty determination upheld.</h1> <h3>M/s Sri Chakra Cement Ltd Versus Commissioner of Customs, Central Excise & Service Tax, Guntur (Vice-Versa)</h3> M/s Sri Chakra Cement Ltd Versus Commissioner of Customs, Central Excise & Service Tax, Guntur (Vice-Versa) - TMI Issues involved:Interpretation of exemption notification for cement supplied to different categories of buyers.Analysis:1. Background: The appeals involved a dispute regarding the classification of buyers of cement supplied by the assessee and the applicability of exemption notification 04/2006-CE (Sl.No.1C).2. Contention: The department argued that only one category of buyers could be considered as industrial consumers eligible for exemption, while the rest did not qualify. The assessee contended that all cement supplied in bulk to institutional buyers should be eligible for the exemption.3. Legal Precedents: The assessee relied on the judgment of the Hon'ble High Court of Karnataka in the case of Mysore Cements Ltd, which upheld the availability of exemption for cement supplied in bulk to institutional consumers. Several other cases were cited to support this argument.4. Decision: The Tribunal, after considering the arguments and legal precedents, held that the benefit of exemption notification 04/2006-CE (Sl.No.1C) applied to cement supplied to institutional consumers in 50 kg bags. The demand and interest related to sales to individuals were upheld, while penalties were set aside.5. Outcome: The assessee's appeal was allowed, remanding the case to the original authority for determining any duty payable. The department's appeal was rejected as the first appellate authority had correctly followed the Tribunal's orders in similar cases.6. Conclusion: The Tribunal's decision aligned with the precedent set by the Hon'ble High Court of Karnataka and upheld by the Tribunal in previous cases, ensuring consistent application of the exemption notification for cement supplied to institutional consumers.