2016 (9) TMI 1237

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.... all the three appeals is that Respondents, inter alia, are manufacturing Brass Ingots which is not covered under Sr. No.(xxiv) (A) (a)  (iv) of Annexure to Notification No.9/2003-CE dated 01.03.2003, as amended. It is the case of the Revenue that as per the definition of Ingots & Billets given in chapter Notes under Chapter 72 of the Central Excise Tariff Act, 1985 (CETA) the product manufactured by the Respondents is 'Ingots' whereas they have mis-declared their products as 'brass/billets weighing upto 5 kg.' Learned A.R. made the bench go through the appeals filed by the Revenue to argue that as per HSN explanatory notes for Chapter-72 also, the goods manufacture by the Respondents are 'Ingots'. Regarding classificat....

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....tured by the Respondents, are billets as Respondents are not using the final cast product for re-melting and exemption has been correctly availed. Regarding classification of 'Brass Granules', it was argued by the appellant that CETH (Central Excise Tariff Heading) 74.05 will also cover similar brass items also. It was also held that the main heading not only covers copper brass, rods and profiles but also covers alloys of these goods under CETH 7407.12. That on the same analogy 'Brass Granules' will fall under 7406.00 where further sub-classification is not given. It was also argued that first appellate authority in para 8 of the order-in-appeal has relied upon HSN explanatory notes which also include 'bronze powder&#39....

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....ys or Brass in CETH 74.06 does not mean that it will not contain copper alloys in its ambit Section note-6 to Section-XV of CETA also confirms this interpretation. Accordingly, this bench does not find any reason to interfere with the order passed by the first appellate authority regarding classification of brass granules. 6. Regarding point No.(ii) of para 4 above, it is the case of the Revenue that products manufactured by the Respondent constitute ingots and will not be eligible to small scale exemption. Revenue has relied upon the definition of 'Ingots' & 'Billet' given under Chapter-72 of the CETA. On the contrary Respondents are of the view that Chapter notes of Chapter-72 cannot be pressed into service made applica....