Per Shri V.P. Gulati :

The issue in the appeal relates to the benefit of Notification 345/86. The appellants have imported aluminium foils containing more than 99% aluminium and have claimed the benefit of the said notification under Sl.No. 40 which reads as under:

The plea of the appellant is that since the foil is also in the form of sheet and the sheets are covered under Sl.No. 40, the appellants should be allowed the benefit of the said notification.

2. The learned Chartered Accountant has referred us to the Chapter Notes under Chapter 76 and Note (d) of this Chapter. He has pleaded the heading covers plates, sheets, strip and foils. He has pleaded that the scope of these terms has been specified under this heading. Sheets and foils, he has pleaded, had been bracketed together in terms of this Chapter Note and therefore wherever sheet occurs in any notification, the foil should be taken to be included for the purpose of notification by reason of the fact that the term 'sheet' would also cover foils. He has pleaded that the learned lower authority has not appreciated the scope of the Tariff Heading and the notification correctly.

3. Heard the learned SDR for the Department. He has adopted the reasonings of the learned lower authority. He has urged that foil and sheet are treated as two separate entities for the purpose of the tariff falling under two separate headings with 76.06 and 76.07. He has pleaded the benefit is available only in respect of the foils in the event of its being used for electrolytic capacitors.

4. We have considered the pleas made by both the sides. We observe that the appellants admittedly have imported aluminium foils and the notification specifically extends the benefit in respect of the foils in case the same are intended for using in the manufacture of electrolytic capacitors or plastic film capacitors. The appellants' Chartered Accountant fairly concedes that the foil as has been imported by them is not intended to be used for the purpose as set out in Sl.No. 1 of the Notification which extends the benefit in respect of foils. His plea is that the goods imported would be used for manufacture of other types of capacitors and therefore the benefit of notification should be allowed. We observe that so far as the term 'foil' is concerned, the same has been defined in the Mc.Craw Halls Dictionary of Scientific and Technical Terms, Second Edition as of piece of sheet of metal usually less than 0.006 inch (0.15 mm) thick. What follows from this is the foil as an entity is in a sheet form. The point that has been made is that notwithstanding the goods being foils, being in the sheet form it should be treated as a sheet. We observe to answer this we have to examine the scheme of the Tariff. It is seen in the Tariff the foil has been set out as a separate item falling under 76.07 while other sheets are shown under Tariff Heading 76.06. The Tariff therefore it is seen treats the foil as a separate entity for the purpose of assessment from other categories of sheets. The term 'sheet' therefore has to be interpreted on its own terms for the purpose of levy of duty. It is now settled law that for interpretation of the Notification the meaning to be assigned to various items in a notification has to be the same as assigned in the Tariff. We find in the present case under Notification 345/84 the benefit of exemption has been extended in respect of aluminium foils separately for specified end uses as is evident from the entries of Sl.No. 1 and 40 of the notification. The goods