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2012 (12) TMI 158 - JHARKHAND HIGH COURTDetermined the annual production capacity - Extended Period of limitation - Assessee is manufacturer of the rerolled product of non-alloy steel - Duty of the Excise is leviable in terms of the provisions of Section 3A of the Central Excise Act, 1944 - Based on the capacity of production of their factory - the annual capacity determined by the assessee under Sub Rule 3 of Rule 3 of the Rules of 1997 was 3044.531 for F.Y 1996-97 metric ton against which the actual production of the Revenue was 6095.795 metric ton F.Y 1996-97 – Commissioner review his own order retrospectively, for the determination of the annual production capacity - SCN was issued on the basis of annual capacity of production of assessee's unit under Rules of 1997 w.e.f. 01.09.1997 will be as per actual production of the year 1996-97 and demanded differential duty for the year 1997-98 and 1998-99. Held that:- The duty leviable for the produce of the mill in excess to the annual capacity of production determined by the formula under sub-Rule 3 of Rule 3 will be the quantity leviable for the duty. In Rule 5, even after declaring that actual production of the mill will be the annual capacity of the production shall be determined by the formula under sub-Rule 3 of Rule 3, but it has been restricted to apply for only financial year 1996-97. In view of the Rule 5 also, even actual production of previous year i.e. for the F.Y 1996-97, by application of the deeming Clause under Rule 5, that is not the basis annual capacity of production for the subsequent years. Therefore said notice was barred by the period of limitation of six months. In favour of assessee
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