TaxTMI 
TaxTMI 
2010 (8) TMI 382
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....ying duty on the ingots under compounded levy scheme as per the provisions of Section 3A of Central Excise Act, 1944. For manufacture of M.S. Ingots in induction furnace, an item called "Steel Former" is used. Steel Formers are hollow cylindrical profiles which are placed inside the crucible of the induction furnace. This space between the crucible and the Steel Former is packed with ramming mass (mixture of Sodium Silicate and Boric Acid) and asbestos sheets. The hollow portion inside the former is charged with scrap iron, sponge iron, etc. When the furnace is switched on, the ramming mass melts and forms a coating on the crucible. The scrap iron also melts and alongwith it a portion of the "former". The liquid metal is, thereafter, poured....
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.... reversed the Additional Commissioner's order, confirmed the duty demand raised in the show cause notice alongwith interest and also imposed penalty of equal amount on the appellant. It is against this order of the Commissioner (Appeals) that the present appeal has been filed. 2. Heard both the sides. 2.1 Shri L.P. Asthana, Advocate, the learned Counsel for the Appellant, pleaded that the Steel Former is a part of induction furnace, that by virtue of Section Note 2 to Section XVI of the Central Excise Tariff, the Steel Formers would be classifiable under Heading 85.14 as part of induction furnace, that the appellant in the classification declaration filed on 30th August 1999 had declared the manufacture of Steel Formers for capti....
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....f the Central Excise Tariff from which it can be inferred that the Steel Formers are covered by Heading 85.14 as part of the induction furnace, that being hollow profiles of mild steel 'Steel Formers' are correctly classifiable under Heading 73.06, as mentioned in the Board Circular, that while the steel formers were being manufactured by the appellants since 1997, the declaration about the same made was only in the classification declaration dated 30th August 1999 and even at that time, the registration certificate was not amended and that in view of this, there is no infirmity in the impugned order. 3. We have carefully considered the submissions from both the sides and perused the records. 3.1 The point of dispute in this case....
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....parts of the machines of the goods of Chapter 84 and Chapter 85. The parts which are the goods included in any of the headings of Chapter 84 or Chapter 85 (other than heading 84.09, 84.31, 84.48, 84.66, 84.73, 84.85, 85.03, 85.22, 85.29, 85.38 and 85.48) are in all cases to be classified in their respect headings. Other parts if suitable for use solely or principally with a particular kind of machine or with a number of machines of the same heading are to be classified with the machines of that kind or in Heading Nos. 84.09, 84.31, 84.48, 84.66, 84.73, 85.03, 85.22, 85.29 or 85.38 as appropriate. However, the parts which are equally suitable for use principally with the goods of Heading 85.17 and 85.25 to 85.28 are to be classified in the H....
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....m1-9-97to31-3-01was issued only on10-7-02i.e. beyond limitation period of one year from the relevant date. The appellant's plea is that longer limitation period under proviso to Section 11A is not applicable as they had declared the manufacture of Steel Formers and also its classification under Heading 85.14 and the fact that they were availing full duty exemption for their captive consumption under Notification No. 67/95-C.E., in the CL declaration filed on 30th August 1999, which we find is true. However, we find that prior to30-8-99, the appellant had not declared the manufacture and captive clearance at nil rate of duty of the Steel Formers, while they were manufacturing the same and using the same for captive consumption without paying....