2000 (7) TMI 83

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.... that a Notification No. 68/71-C.E., dated 29-5-1971 was issued which reads as follows : Exemption to Articles made of Plastics : In exercise of the powers conferred by sub-rule (1) of rule 8 of the Central Excise Rules, 1944, the Central Government hereby exempts articles made of plastics, all sorts, falling under sub-item (2) of Item 15A of the First Schedule to the Central Excises and Salt Act. 1944 (1 of 1944) except - (i)rigid plastic boards, sheetings, sheets and films, whether or not; and (ii)flexible polyvinyl chloride sheetings, sheets, films and lay-flat tubings not containing and textile material, from the whole of the duty of excise leviable thereon; Provided that - (a)such articles are produced out of the arti....

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....sion or not over 700 kilograms per square centimetre at 23 degree centigrade and 50 percent relative humidity when tested in accordance with the method of test for stiffness of plastics (ASTMO Designation D-474-63) for flexural properties of plastics (ASTM) Designation D-790-63 for Tensile properties of plastics (ASTM Designation D-638-63-T) or for Tensile Properties of Thin Plastic Sheeting (ASTM) Designation D-882-64-T). (ii)the expression "rigid" in relation to an article made of plastic, means all articles other than "flexible" articles as defined in clause (i). 8.As a result of this explanation the sheets which were manufactured by the respondent fell within the category of being rigid and, therefore, not entitled to the benefit ....

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....ink proper. In the present case, the Central Government had granted exemption from payment of excise duty, inter alia, on the manufacturers of flexible plastic sheets. The original notification of 1971 excluded rigid plastic sheets from the benefits of the exemption notification. As the respondent was unable to show that the plastic sheets manufactured by them was flexible, therefore, it claimed benefit of the notification. 11.The 1971 notification did not elaborate or specify as to what would be regarded as a rigid plastic sheet. In order that there should be no ambiguity as to what is to be categorised as a flexible or rigid material the explanation was inserted in 1978. It is rightly not being contended that the Central Government cou....