TaxTMI 
TaxTMI 
2018 (8) TMI 1672
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....ed with the Central Excise Department or paid duty while clearing them. Based on this intelligence, the Central Excise Officers investigated the case and found that the respondent was manufacturer of mosquito coils and had not paid duty on them. A show cause notice was issued and after following due process, the lower authority had vide Order-in-Original No. 19/2008/JC/Hyderabad-III-Adjn. dated 30.09.2008 held that the mosquito coils manufactured by them are liable for Central Excise duty classifiable under chapter 38081091 "Repellants for insects such as flies, mosquitoes". She, therefore, confirmed a Central Excise duty demand of Rs. 21,06,726/- under Section 11A invoking extended period along with education cess and with interest under S....
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....a chemical insecticide. The entire case is on mere surmise. The reliance placed by the lower authority on the decision in the case of Bombay Chemicals Pvt. Ltd., is clearly distinguishable in as much as the mosquito coils in that case contained "pyrethrin", an insecticide. In the instant case, the appellants have furnished documentary evidence in support of the contention that Allerthin, an insecticide was used only n 2006-2007. Hence, I uphold the contention of the appellants that the mosquito coils manufactured by them during the material period cannot be classified under Chapter 38 of the Central Excise Tariff as "Miscellaneous Chemical Products" and hence the question of demand of Central Excise duty on the impugned product does not ari....
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....ollowing case laws: i) Reckitt Benckiser (India) Limited Vs. State of Andhra Pradesh [2013 (298) ELT 501 (A.P)] in which, it was held that Mortein mosquito repellents like coil, mat vaporizer and liquid vaporizer are liable to tax at 12.5%. ii) Karamchand Appliances Pvt. Ltd., [2012 (284) ELT 682 (Tri. - Del.)] in which, it was held that mosquito repellent is classifiable under 3808.10 as insecticides. iii) Aero Industries [2006 (204) ELT 61 (Tri. - Mumbai)] in which, it was held that mosquito coils are insecticides. iv) Bombay Chemicals Pvt. Ltd., [1990 (49) ELT 431 (Tribunal)] in which, it was held that the mosquito repellent coils are also used for repelling insects and not killing them are insecticides. This order of the Tribuna....
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....rs, this chapter covers miscellaneous chemical products. In fact, this chapter contains several items such as animal black including spent animal black (3802.90.20), Wood Tar Oils etc (3807), Gum, Wood or Sulphate Turpentine and other Terpenic oils (3805), Culture media for Development or Maintenance of Micro-organisms or of Plant, human or animal cells (3821), Bio-diesel and mixtures thereof (3826) none of which are synthetic chemical products. If the logic of the First Appellate Authority has to be accepted all these entries in the Central Excise Tariff are incorrect because they are not synthetic chemical products. Although, the chapter heading is "miscellaneous chemical products", nowhere does it indicate that they should necessarily be....