Page 239 - ELT_2nd_15th April 2020_Vol 372_Part

2020 ] PEE CEE COSMA SOPE LTD. v. COMMISSIONER OF CENTRAL EXCISE, KANPUR 285

“- Soap in any form :
3401.11 -- Soap, other than for toilet use, 10%
whether or not containing medica-
ment disinfectant
3401.12 -- Soap, in or in relation to the manu- Nil
facture of which, no process has been
carried on with the aid of power or
of steam for heating
3401.19 -- Other 20%”;”
11. Thus, with effect from 1 April, 1996, the rate of duty prescribed for
soap, in or in relation to the manufacture of which no process has been carried
out with the aid of power or of steam for heating, was “nil”.
12. The next amendment was made in Chapter 34 of the Tariff Act
w.e.f. 28 February, 2005. The relevant Tariff Item Number of ‘laundry soap’ was
changed to 3401 19 42 and the rate of duty was mentioned as 16%.
13. However, a Notification dated 24 February, 2005 was issued that
was to be effective from 28 February, 2005. This Notification provided that the
duty for soap, in or in relation to the manufacture of which no process has been
carried out with the aid of power or of steam would be 'Nil'. The said Notifica-
tion is reproduced below :
“NOTIFICATION
New Delhi, the 24th February, 2005
No. 3/2005-Central Excise
In exercise of the powers conferred by sub-section (1) of section 5A of the
Central Excise Act, 1944 (1 of 1944), the Central Government, being satisfied
that it is necessary in the public interest so to do, hereby exempts excisable
goods of the description specified in column (3) of the Table below and fall-
ing within the chapter, heading, sub-heading or tariff item of the First
Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) as amended by
the Central Excise Tariff (Amendment) Act, 2004 (5 of 2005), (hereinafter re-
ferred to as the Central Excise Tariff Act), specified in the corresponding en-
try in column (2) of the said Table, from so much of the duty of excise speci-
fied thereon under the First Schedule to the Central Excise Tariff Act (here-
inafter referred to as the First Schedule), as is in excess of the amount calcu-
lated at the rate specified in the corresponding entry in column (4) of the
said Table.

S. Chapter or heading Description of goods Rate
No. or sub-heading or of
tariff item duty
33. 3401 Soap, in or in relation to the manufac- Nil
ture of which no process has been car-
ried on with the aid of power or of
steam

14. Thus, with effect from 28 February, 2005, the excise duty on soap, in
or in relation to the manufacture of which no process has been carried on with
the aid of power or of steam was provided as “nil”.
EXCISE LAW TIMES  15th April 2020  255