Customs, Excise and Gold Tribunal - Mumbai
Cce vs Dawn Mills Co. Ltd. on 5 May, 1999
Equivalent citations: 1999(85)ECR520(TRI.-MUMBAI)
ORDER
P.C. Jain, Vice-President
1. Matter called. None for the respondents. Therefore, we have heard the Ld. SDR Shri A.K. Agarwal, in respect of the Revenues appeal. Before we advert to the grounds of appeal taken by the Revenue in its appeal we refer briefly to the facts as can be culled from 2 orders of the two lower authorities before us. In the Order-in-Original the Assistant Collector approved the classification list directing that duty should be paid on the single yarn stage before it is taken for doubling i.e. yarn duty to be paid at spindle stage. On appeal this order was reversed by the Collector (Appeals), Bombay which is impugned before us.
2. Revenue has filed the appeal against the said impugned order.
3. In its appeal Revenue endorsed the finding of the lower appellate authority regarding payment of duty at the stage of doubling of yarn, but they have challenged that the impugned order is not clear on the ground if the double yarn is sized and then cleared the duty should be charged after sizing. For this proposition the Revenue has relied on Supreme Court judgment in the case of J.K. Spinning & Weaving Mills and Anr. v. Union of India and Ors. .
4. For this contention Ld. SDR has drawn our attention to the remarks made in the classification list by the respondents which are before us. The said remarks are as follows:
In respect of sized yarn on beams, excise duty will be paid on Gray weight of the yarn only.
A question therefore, arises whether the duty on the doubled yarn will be charged after sizing or on the weight before sizing. We observe that while this point was relevant for deciding the appeal in full but the lower appellate authority has not decided this question. Such a question, however, did not arise before the Assistant Collector inasmuch as he levied the duty at the single stage (spindle stage), but this question no doubt arises if the duty is levied at the doubling stage. We, therefore, remand the matter to the lower appellate authority to decide this question afresh because he has failed to decide this question with certainty. Consequently, we remand the matter to the appellate authority to give a decision on the aforesaid point.
(Pronounced and dictated in the open court).