1990 (9) TMI 73

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....e Act. The tariff item inter alia prescribes that office machines and apparatus are liable to payment of twenty per cent ad valorem duty. The petitioners sold and supplied the machines along with certain accessories like photo conductive plates and black shields. The plates and black shields are not built-in parts of the machine, but are used in the machine in substantially the same manner as a film or plate is used in conventional camera. The plates used in photo copying machines can be used for a number of exposures after which it is required to be replaced. The petitioners supply each new machine along with certain number of plates and black shields. 2. Prior to 1973, under mistake, the petitioners were paying ad valorem excise duty o....

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.... The Appellate Collector as a consequence of the finding directed that consequential relief shall be granted by the Asstt. Collector to the petitioners. The decision of the appellate authority was reviewed by the Government of India, Department of Revenue & Banking and by order dated June 30, 1977 it was held that as the petitioners supply the plates and black shields along with photo-copying machine and the price of the machine is inclusive of the cost of plates and black shields, it must be concluded that the plates and black shields are essential parts of the machine. The Government of India thereupon in exercise of powers under sub-section (2) of Section 36 of the Central Excises and Salt Act, 1944 reversed the order of the appellate au....

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....ion, film or roll is required for functioning of a camera, or petrol is required for running of car, or ribbon is required for functioning of a typewriter, but neither the film nor petrol nor ribbon can be considered as part and parcel of camera, car or typewriter. The appellate authority has recorded a clearcut finding that even without plates and black shields, the photo-copying machine is a complete machine and liable for payment of excise duty under Tariff Item No. 33D. The appellate authority has also recorded a finding that supply of plates and black shields are not dependent upon a particular machine, but are supplied in accordance with the needs of the customers. The appellate authority further recorded a finding that customers can ....