2003 (6) TMI 67

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..... The issue in this appeal relates to interpretation of Para 2(i) appearing in the small scale exemption Notification No. 9/99-C.E., dated 28-2-1999. The appellants admittedly availed of the benefit of the said Notification up to 17-8-1999 during the financial year 1999-2000 and thereafter, opted out of the said notification. They claim that after opting out of the exemption notification, they are....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....is option in writing for availing the exemption under this notification before effecting the first clearances of specified goods and such option shall be effective from the date of exercise of the option which shall not be withdrawn during the remaining part of the financial year." 3. It is clear from the wording of the aforesaid condition that once having opted for the exemption, a manufacturer ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....No. 9/99 required a manufacturer to either avail of such exemption for the entire year or to pay the normal duty and avail Modvat credit on the input duty. He points out that if a manufacturer is allowed to avail of clearance based exemption notification for some period of a financial year and then opt out of the same and utilize accummulated input duty credit, this will result in undue benefit to....