2017 (5) TMI 547

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....winding machine with yarn splicer and auto doffing system which are goods of the description specified in Sl. No.245 of Col. 3 of the said Notification, of which there is no dispute. The Notification further lays down that goods so specified in Col. 3 will be exempted from so much of the duty of customs levied thereon, "as is in excess" of the rate specified in Col. 4 thereto. So also, it specifies that such goods are also exempted from so much of the additional duty of customs leviable thereon, "as is in excess" of the rate specified in Col. 5 therein. In Col. 6 of the Notification provides for any conditionalities to be specified for being eligible for the exemptions provided in this notification. With this background, we reproduce the re....

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....oms duty has to be charged. Since there is specific mention on merit rate of 16% corresponding to various entries for example Sl. No.238, 244 etc. he contends that the "-" will have to be necessarily taken as Nil rate of duty and they cannot be asked to pay merit rate of duty @ 16%. 5. On the other hand learned AR submits that Notification does state that duty cannot be charged in excess of the rate indicated in Col. 5. He submits that where nil duty is intended, the words Nil has been specifically incorporated. He contends that when "-" is indicated it means merit rate has not been interfered with. In the particular case, since what has been specified in Col. 5 being "-" and not "Nil", the merit rate of 16% will necessarily have to be d....

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....interpretation of this particular beneficiary notification should be first taken up from the intent provided at the beginning. Such intent is unambiguous and without any confusion namely:- (a) to extend exemption to certain goods that would fall within the description given in Col.2 of the Notification. During the relevant period, as many as 378 items were listed. (b) Two types of duties have been extended in this notification namely, on standard rate of customs (as is commonly known as Basic Customs Duty  BCD), the additional duty of customs (ACD). (c) Notification clearly mandates that the goods so listed are exempted from duty of customs "as is in excess" of the rate specified in corresponding col. 4. ....