2010 (9) TMI 952

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... materials for the said inputs i.e. MS Barrels were cleared by them without payment of customs duty leviable thereon during the period 19-6-2004 to 17-2-2005. As per the Revenue, the said packing material in which the inputs were received by them, was required to be cleared on payment of appropriate customs duty leviable thereon, subject to prior permission of the Jurisdictional Assistant Commissioner/Deputy Commissioner of Central Excise, in terms of Notification No. 52/2003-Cus., dated 31-3-2003 read with sub-para (d) of Para 6.15 of Foreign Trade Policy 2004-2009. 2. Accordingly, proceedings were initiated against the appellants by way of issuance of show cause notice proposing confirmation of demand of customs duty of Rs. 1,12,8....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ons allow disposal of used packing material on payment of duty. I have also perused the Notification No. 52/2003-Cus., dated 31-3-2003 and find that said notification provides exemption to imported goods from customs duty for use in the manufacture of export goods. It also provides that unused goods (including empty cones, bobbins or containers, if any, suitable for repeated use) as have not been exported or cleared for home consumption, shall be liable to duty along with interest. The notification further provides that where such finished goods (including rejects, waste and scrap and remnants) are not excisable, customs duty equal in amount to that leviable on the inputs imported under this notification and used for the purpose of manufact....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....he appeal. 6. As against the above, I find that in identical facts and circumstances the Tribunal in the case of Commissioner of Customs, Bangalore v. Suretex Prophylactics (I) Limited - 2006 (195) E.L.T. 325 (Tri.-Bang.), has considered an identical issue and has observed as under :- "7. We have gone through the records of the case carefully. The issue is quite simple. The respondents, a 100% EOU imported certain goods free of duty. The goods were in barrels. After the using the goods, they cleared the empty barrels. The empty barrels are undoubtedly suitable for repeated use. In other words, they are different from packing material unsuitable for repeated use. Notification No. 53/97-Cus., dated 3-6-1997 deals with exemptio....