2015 (9) TMI 1557

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... on one of the applicants. 2. The facts of the case are that the appellant is engaged in the manufacture of Pan Masala containing tobacco commonly known as gutka. The appellant were paying duty under compounded levy scheme as per Pan Masala Packing Machines (Capacity Determination and Collection of Duty) Rules, 2008. On examining the records for the month of March, 2011, Feb.2012, March, 2012, May 2012 and June 2012, it has been noticed that the appellant have paid central excise duty on prorata basis or for the period of production/manufacturing of the said goods, during the last days of the month, or in the following month, therefore, the applicant has contravened the provisions of PMPM Rules, 2008 and consequently, the demand was calc....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....t produce the notified goods during any continuous period of 15 days or more, duty calculated on proportionate basis shall be awarded in respect of such period, provided the manufacturer of such goods files an intimation to that effect with the concerned authorities. In this case, it is not disputed that the appellant has intimated in advance and their machines were not working more than 15 days continuous period during the impugned period. As per the Rule 7 of the said Rules, duty is payable in advance on 5th day of the same month but in this case, on 5th day of the same month, machines were lying sealed by the department and no production on those machines have been done. Therefore, as per Rule 10 of the said Rules, the appellant is entit....