TaxTMI 
TaxTMI 
2015 (10) TMI 1105
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....a, Tansen, Tulsi Sada, Rajnigandha Meetha Mazaa falling under Chapter 21 of Central Excise Tariff Act,1985 which is chargeable to Central Excise Duty. The period of dispute is from November 2008 to July 2010. In November 2008, the assessee purchased a packing machine of Model PK-90 GMP FFS Machine from M/s Pakona Engineering(I) Pvt.Ltd.,GIDC, Vadodara vide invoice dated 26.10.2008. The assessee in terms of Rule 6 of Pan Masala Packing Machine (Capacity Determination and Collection of Duty) Rules, 2008 (hereinafter referred to as PMPM Rules) filed a declaration form under Rule 6 of PMPM Rules indicating the machine to be a Single Track Machine having a capacity of producing 150 pouches per minute. Pursuant to the declaration, the Juris....
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....he extent of evasion of duty in respect of such goods or such other factors as may be relevant, with a view to safeguard the interest of revenue for assessment of duty as per the provision of this section. Sub Section (2) of Section 3-A of the Act authorizes the Central Government to make Rules in respect of goods specified under section 3-A(1) of the Act for determining the annual capacity, which shall be deemed to be the annual production of such goods by the factory or specify the factors relevant to the production of such goods and the quantity that is deemed to be produced by the use of a unit of such factor. We find that 'Gutkha' and 'Pan Masala' packed in retail pouches for sale has been notified under Section 3-A(....
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....4.01 to Rs. 5.00 6314880 10333440 22963200 7. From Rs. 4.01 to Rs. 5.00 6314880 10333440 22963200 8. Above Rs. 6.00 6177600 10108800 22464000 For the purposes of this rule, if there are multiple track or multiple line packing machine which besides packing the notified goods in pouches, perform additional processes involving moulding and giving a definite shape to such pouches with a view to distinguish the brand or to prevent the counterfeiting of the goods, etc. Two such tracks or lines hsall be deemed to be one individual packing machine for the purposes of calculation of the number of pouches per operating packing machine per month: Provided that in case of multiple track or multip....
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.... production of pouches. The Tribunal held that since there was only one track or one line, the machine purchased by the assessee would be treated as a single track machine and would not be treated as a multiple track machine. Having heard Shri B.K.S Raghuvanshi, the learned counsel appearing for the appellant and Shri Kasif Zaidi, the learned counsel for the assessee, we find that Rule 5 of the PMPM Rules only distinguishes between a single track and multiple track machines and the duty is paid accordingly. Duty is not paid on the basis of number of pouches produced per minute per month. As per the notification dated 1.7.2008, the rate of duty has been fixed per packing machine per month and not on the turnover of the pouches manufacture....