Exemption under amended sugar notification applies only from eligibility date; earlier clearances before amendment remain taxable.

Notification No. 132/82 initially excluded factories with nil production in the preceding three sugar years, so the assessee was not eligible for the exemption on that basis. Notification No. 193/82 removed that exclusion, but the text shows no retrospective operation. Under Central Excise Rule 9A, the duty rate depends on the date of clearance of excisable goods. As the assessee became eligible for the exemption only from 11-6-1982, the reduced rate could not apply to sugar clearances already made between 1-5-1982 and 10-6-1982. The claim for exemption or duty rebate for that period was therefore disallowed.

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Issues: Whether the assessee was entitled to the benefit of Notification No. 132/82, as amended by Notification No. 193/82, in respect of clearances of sugar made between 1-5-1982 and 10-6-1982, before the amending notification came into force.

Analysis: The exemption under Notification No. 132/82 was initially unavailable to the assessee because paragraph 4 excluded factories with nil production in the preceding three sugar years. The amendment by Notification No. 193/82 removed that exclusion, but there was nothing to show that the amendment operated retrospectively. Under the scheme of Central Excise Rule 9A, the applicable duty rate is determined by the date of clearance of the excisable goods. Since the assessee became eligible for the exemption only from 11-6-1982, the reduced rate could not be applied to clearances already made during the earlier period when the assessee was not eligible for the notification.

Conclusion: The assessee was not entitled to the exemption or duty rebate for clearances made between 1-5-1982 and 10-6-1982, and the claim was rightly disallowed.

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