Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2011 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2011 (6) TMI 515 - CESTAT, MUMBAIJob Work - Valuation of goods manufactured by Job Worker - Demand beyond the scope of show cause notice - Cenvat Credit on own material used in Job Work activity - held that:- the grounds alleged in the show-cause notice and the grounds on which demands have been confirmed in the order-in-original are at variance. While in the show-cause notice the duty demand is made on the premise that the appellants have not included the cost of materials procured and used by them in the manufacture of job-worked product, the original authority has confirmed the duty demand on a totally different ground i.e., the appellant has not included the cost of the raw material supplied by the principal manufacturer. Thus, the ground alleged in the notice and the ground on which the duty demand has been confirmed are different and, therefore, the order has traversed beyond the show-cause notice. On this ground alone, the order-in-original has to be held as unsustainable and bad in law and consequently, the impugned order which upholds the said order-in-original and we hold accordingly. Liability of payment of duty - held that:- it is seen from the records that the job work transaction was undertaken under Rule 57F (2) and, therefore, there is no responsibility on the job worker to discharge any duty liability. This position was also reaffirmed by this Tribunal in the case of M.Tex & D.K. Processors (2000 -TMI - 50278 - CEGAT, NORTHERN BENCH, NEW DELHI) - Decided in favor of assessee.
|