Deemed credit under SSI exemption notification continues after clearance limit is crossed, as no referable question of law arose.

A small scale industry unit remained entitled to deemed credit benefit under Notification No. 1/93-C.E. even after its clearances crossed the Rs. 75 lakh limit, because the notification did not expressly cut off the benefit on that ground. The Tribunal followed earlier authority and a similar reference order, holding that the Revenue was seeking to read a restriction into the exemption notification that was not present in its plain terms. On that basis, it held that no referable question of law arose and rejected the reference application in favour of the assessee.

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Issues: Whether any question of law arose for reference on the revenue's challenge to the Tribunal's view extending deemed credit benefit under Notification No. 1/93-C.E. to a small scale industry unit after crossing the clearance value limit of Rs. 75 lakhs.

Analysis: The Tribunal noted that the earlier final order had followed a prior decision holding that the character of the assessee as a small scale industry under Notification No. 1/93 did not change merely because clearances crossed Rs. 75 lakhs, and that the notification contained no express restriction cutting off the benefit on that ground. It also relied on a recent similar reference order which had taken the same view and held that no referable question of law arose. The revenue's contention was therefore treated as an attempt to read into the exemption notification a limitation not found in its plain terms.

Conclusion: No question of law arose for reference, and the reference application was rejected against the Revenue and in favour of the assessee.

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