Two Notifications; Two Rates; Which one to Foollow? (not a spelling mistake)

By Vijay Kumar

A concerned Netizen asks us:

“As per Sl. Nos 62A,B,C,D and E of the table to Notification No. 4/2006-C.E dated 01.03.2006, goods falling under Sub headings, 3001,3003,3004,3005 and 3006 attract an effective rate of 5% excise duty.

As per Sl. No. 21 of Notification No. 2/2008-C.E dated 01.03.2008, 3001,3003, 3004,3005 and 3006 attract an effective rate of 10% excise duty. Both these exemptions are unconditional. Now which of the two should the assessee follow? Can the assessee pay duty at 5% for domestic clearance and pay duty at 10% for exports and claim rebate of the 10% duty paid?

This is not a hypothetical case. Some assessees are following this method and some Central Excise officers are giving full refund while others are not.”

Will the Board clarify?