Choice of exemption notification permits switching to a later notification after exhausting the earlier clearance limit.

Where more than one exemption notification applies to the same goods, the assessee may choose the notification to be used. The Tribunal stated that Notification No. 1/93-C.E. could be availed up to its prescribed clearance limit, and that after exhausting that limit the assessee could switch to Notification No. 5/94-C.E. for subsequent clearances. The post-limit clearances were therefore eligible for the later exemption, and the exemption claim was upheld with consequential relief according to law.

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Issues: Whether the assessee was entitled to opt for Notification No. 5/94-C.E. for clearances beyond Rs. 50 lakhs after availing Notification No. 1/93-C.E. upto the prescribed limit.

Analysis: The Tribunal held that where more than one exemption notification is available on the same subject, the choice of notification lies with the assessee. It also followed the earlier view that Notification No. 1/93-C.E. could be availed upto the stipulated clearance limit and, thereafter, the assessee could legitimately switch over to Notification No. 5/94-C.E. for subsequent clearances.

Conclusion: The assessee was entitled to the benefit of Notification No. 5/94-C.E. on clearances beyond Rs. 50 lakhs.

Final Conclusion: The appeal succeeded and the assessee's exemption claim for post-limit clearances was upheld, with consequential relief according to law.

Ratio Decidendi: When more than one exemption notification is available for the same goods, the assessee may choose the applicable notification, and a later notification can be availed after exhausting the earlier notification up to its prescribed clearance limit.

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