News Flash
  • The Departmental exam for promotion of Ministerial staff to the grade of Inspectors of Central Taxes and Inspectors of Customs (EOs & POs) will be held from 7th to 9thAugust 2019. The relevant circulars and Syllabus can be viewed through this lin -Click here The dates and schedule for Departmental exam for promotion of Ministerial staff to the grade of Executive Assistants (EAs) will be announced later.
  • Prospective Training Report to be conducted by NACIN and its Zonal Campuses for the month of June -Click here
  • Successful launch today of "CBIC-Sanchar", a digital communication tool for fast and easy communication with the department on the DDM portal. www.cbecddm.gov.in Users are requested to use it actively and give feedback.
  • Training on Prevention of Wildlife Trafficking for Gr-A & Gr-B officers of CBIC at NACIN, Faridabad on 20th & 21st June, 2019 -Click here
  • RESULT OF CUSTOMS BROKER EXAMINATION, 2019 -Click here
  • Change of nomenclature of the post of Superintendent of Central excise working in the Directorate under CBIC as Additional Assistant Director - reg -Click here
  • Updated versions of GST - Concept and Status, and GST - An Update as on 01/06/2019 have been uploaded
  • OM dated 06.06.2019 regarding AISL of Administrative Officers (CGST & Central Excise including Directorates) for the period 01.01.2009 - 30.06.2014Click Here
  • Grant of Commendation Certificate on the occasion of GST Day,2019-regClick Here
  • Advertisement-cum-Schedule in relation to GST Practitioner's Examination, 2019 English ||   Hindi
  • Inviting articles and case studies for the inaugural issue of NACIN JournalClick Here
  • Guidelines for GST Practitioner Exam under Rule 83A(9) issued by NACIN, FaridabadClick Here
  • Draft notification to amend the Customs (Import of Goods at Concessional Rate of Duty) Rules, 2017 Click Here | Feedback and suggestions be sent to dircus@nic.in or anil.sapra@gov.in, within 30 days i.e by 26.06.2019.
  • ACES PORTAL (www.aces.gov.in) FUNCTIONALITIES ARE MIGRATED TO INTEGRATED CBIC-GST PORTAL.PLEASE VISIT www.cbic-gst.gov.in FOR CENTRAL EXCISE & SERVICE TAX ONLINE TRANSACTIONS.
  • SEPARATE ADVISORIES EXPLAINING STEP-BY-STEP PROCEDURE FOR EXISTING TAXPAYER MIGRATION AND NEW TAX PAYER REGISTRATION ISSUED BY DG SYSTEMS." CLICK "WHAT'S NEW" ON THE HOME PAGE OF www.aces.gov.in.
  • Letter issued for Next Dept. Exam. of Inspectors to be held from 06.08.2019 to 09.08.2019. Please download the same from.www.nacenkanpur.gov.in
  • Examination Notice for Promotion of LDCs to cadre of TAsClick Here
  • Circular inviting applications from CBIC officers for appointment on deputation basis in the GST Council Sectt. - Extension of last date. Click Here
  • Chairman CBIC launched 'Samarth' an e-learning platform on 20.05.2019 developed by DG/System in collaboration with NACIN. For accessing 'Samarth' please visit NACIN website under LMS Tab.
  • Guidelines for GST Practitioner Exam under Rule 83A(9) issued by NACIN, faridabad. Click Here
  • Proposals are invited from eligible Bidders to be appointed as Program Governance and Monitoring Agency (PG&MA) for CBIC’s IT Initiatives. The RFP document can be purchased from the office of DG Systems and Data Management by Bidders who successfully qualified CBIC's EOI dated 28.02.2019 for this project.
  • Scheme for compassionate appointment - relative merit point & revised procedure for selection - regClick Here
  • FAQ on real estate consequent to recent changes in GST rate structure FAQ on Real estate sector    FAQ (Part II) on real estate sector
  • Press Release-cum-Schedule in relation to GST Practitioner's Examination, 2019 on CBIC. English    Hindi
  • Corrigendum to nomination calling letter for course on "Financial Intelligence & Investigations" at IIM, BengaluruClick Here
  • Revised Procedure for electronic filing of Central Excise returns and for electronic payment of Excise duty and Service tax arrears under the new portal www.cbic-gst.gov.in Circular | Notification
  • Course on Financial Intelligence and Investigations for officers of CBIC at IIM, Bengaluru from 15th to 26th July, 2019. Click Here Eng
  • OM dated 06.05.2019 regarding AISL of Administrative Officers (Customs) for the period 01.01.2008-30.06.2014 Click Here
  • Inventory check and health checkup of IT infrastructure by HP at field formations Click Here
  • Annual Calendar of Departmental Examination for the year 2019-20 Click Here
  • Prospective Training Report to be conducted by NACIN and its ZTIs/RTIs for the month of May 2019 Click Here
  • Diversion of posts of Principal Chief Commissioner/Chief Commissioner of CBICClick Here
  • Notifications issued specifying procedure for quarterly tax payment and annual filing of return for specified taxpayers and bringing into force provisions of rule 138E of the CGST Rules and amending CGST Rules
  • Calling of nomination for the Train the Trainer Workshop for Master Trainers on combating illegal trade in HCFCs being conducted by NACIN from 26th to 28th June 2019 at Gangtok, Sikkim.Click Here
  • Tentative Annual Training Calendar of National Academy of Customs, Indirect Taxes & Narcotics, Faridabad for the F.Y. 2019-20Click Here
View all

AUTHORITY FOR ADVANCE RULINGS
(CUSTOMS & CENTRAL EXCISE)
Government of India

PRESENT

Hon'ble Mr. Justice Syed Shah
Mohammed Quadri (Chairman)
Dr. K.N. Chaturvedi (Member) Mr. Somnath Pal (Member )

 

ORDER NO.  AAR(CX) R01-03/2004 dated 23-02-2004
APPLICATION No. AAR/44/101/2003

 

Name and address of the applicant  M/s. Shonkh Technologies International Ltd.,
NIRMAL, 6 Floor,
Nariman Point,
Mumbai-400 021
Present for the Applicant  Mr. V. Sridharan,
Advocate
Present for the Department Mr. Sanjeev Sachdeva,
Addl. Director General,
Directorate General of Central
Excise Intelligence, New Delhi .
Mr. S.K.Sawhney,
Addl. Director,
Directorate Genera! of Central  Excise Intelligence,
New Delhi .

ORDER
(By Mr. Justice Syed Shah Mohammed Quadri )

1 .  This is an application under section 23C of the Central Excise Act, 1944 (for short 'the Act') seeking an advance ruling on the question, "whether the process of embossing unique vehicle registration numbers on already manufactured number plates amounts to manufacture."
2. The applicant is a resident company registered under the Companies Act, 1956 and proposes to set up a joint venture in India in collaboration with a non-resident, viz. M/s. H.R. International, an independent company registered in Belgium. The applicant would be purchasing high security vehicle registration number plates from manufacturers. It would then manufacture aluminium sheets in coil form which would be flattened and laminated with retro reflective sheets.Thereafter chrome hologram shall be stamped with the hologram hot stamping machine. Thus, various sizes of licence plates would be manufactured; each plate will be having a unique serial number braided on each plate with a laser braiding machine which is a security feature. The embossed plates will then be hot stamped with a foil pre-printed with the word "IND" and laminated plate would be fitted to the vehicles. The plates will be stamped "IND" to comply with the mandatory requirement of the Government directive.  The special feature of these plates is that once such a plate is fitted to a car, it cannot be removed. The applicant submits that the plates would be classifiable under Chapter heading 83.10 of the Central Excise Tariff.
3. A preliminary objection has been raised by the Commissioner as to the maintainability  of the application on the ground that the question on  which the advance ruling is sought, does not fall under section 23C of the Central Excise Act, 1944. The germane point which arises for consideration is whether the afore-mentioned process would amount to manufacture and the goods thus manufactured fall under Chapter 83.10 of the Central Excise Tariff.      Having perused the application, the material on record and having considered the provisions of sub-section (2) of Section 23C of the Act, we are, prima facie, of the view that the application is liable to be rejected on the ground that the question on which the advance ruling is sought, does not fall under sub-section (2) of Section 23C of the Act. A notice to that effect shall be issued to the applicant under sub-section (2) of Section 23D of the Act.
4. Mr.V. Sridharan, Advocate, appearing for the applicant, takes notice on the said question as to why the application should not be rejected and submits that he waives issuance of a written notice and would argue the point regarding the maintainability of the application. Heard also the learned Departmental Representative.
5. It would be useful to read Section 23C of the Act here.
  Section 23C. Application for advance ruling -
  (1) An applicant desirous of obtaining an advance ruling under this Chapter may make an application    in such form and in such manner as may be prescribed, stating the   question on which the advance ruling is sought.
  (2) The question on which the advance ruling is sought shall be in respect of, -
    (a) classification of any goods under the Central Excise Tariff  Act, 1985 (5 of 1986);
    (b)  applicability of notification issued under sub-  section (1) of  section 5A  having a bearing on the  rate of duty;
    (c) the principles to be adopted for the purposes of determination of value of the goods under the provisions of this Act;
    (d) notification issued, in respect of duties of excise   under this Act, the  Central Excise Tariff Act, 1985 (5 of 1986) and any duty chargeable   under any  other law for the time being in force in the same manner as   duty of excise leviable under this Act;
    (e) admissibility of credit of excise duty paid or deemed to have been paid on the goods used in or in   relation to the manufacture of the excisable goods.
  Sub-section (2) quoted above, enumerates 5 heads which may form subject matter of a question to seek an advance ruling by the Authority.
6. The learned counsel, however, submits that the definition of the   advance   ruling read along with clause (a) of Section 23 C (2) would show that the application cannot be rejected on the ground that manufacture is not one of the heads in respect of which advance ruling could be sought. The learned Departmental Representative submits that an advance ruling can be sought only in regard to the liability to pay duty in relation to an activity proposed to be undertaken by the applicant
7. Clause (b) of Section 23A defines "advance rulings" thus:
  "(b) " advance ruling" means the determination, by the authority of a  question of law or fact specified in the application regarding the liability to   pay duty in relation to an activity proposed to be undertaken, by the applicant;"
The expression "advance ruling" means the determination of a question of law or fact regarding the liability to pay duty in relation to an activity proposed to be undertaken by the applicant. The term 'activity' is defined in clause (a) of section 23A to mean production or manufacture of goods. The expression does not postulate determination of a question as to whether the process leading to production of excisable goods amounts to activity or manufacture within the meaning of the Act. In our considered view, the definition of the said expression which, cannot be read in isolation, has to be harmoniously interpreted with the provisions of sub- section (2) of section 23C which specifically enumerates the heads on which the advance ruling can be sought. The determination of the proposed question should therefore be relatable to one of the enumerated heads. Undisputedly, clause (a) of section 23C is regarding "classification of any goods under the Central Excise Tariff Act, 1985." The stage of  classification arises only after the process of manufacture of goods is over. The classification in clause (a) can by no stretch of imagination take in its fold the process of manufacture as such. If that be so, as the advance ruling is sought on the question as to whether process amounts to manufacture, the question does not fall within any of the heads under sub section (2) of section 23C. The objection has to be sustained. The  petition is accordingly rejected.

 

Sd/
(Dr. K.N. CHATURVEDI)
MEMBER
Sd/ 
(SOMNATH PAL)
MEMBER
 Sd/
(JUSTICE S.S.M.QUADRI)
CHAIRMAN

NEW DELHI
DATED: 23.2.2004
 

F.No.AAR/44/1 01/2003