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2014 (10) TMI 633 - AT - Central ExciseWaiver of pre deposit - manufacture of Lubricating Oils of different grades - Valuation of goods - Held that:- According to Section 4(1)(a) of the Central Excise Act, 1944, "value shall, in a case where the goods are sold by the assessee, for delivery at the time and place of the removal, the assessee and the buyer of goods are not related and the price is the sole consideration for the sale, be the transaction value." It is thus evident from the above that the value is to be determined with reference to the value prevailing for delivery at the time and place of removal. In any other case, the value be determined in such manners, as may be prescribed. Central Excise Valuation (Determination of Price of Excisable Goods), Rules, 2000 has been framed for this purpose. Value as per Valuation Rules is defined to mean, the value referred to Section 4 of the Act. Accordingly, we are of the opinion that even for the purpose of Rule 8 of the Valuation Rules, cost of manufactured goods is to be taken for calculating the value as the said cost at the time and place of removal of the goods. As such, the assessee ought to have taken the cost of production prevailing during the relevant period of removal of the said goods to their sister units. According to Rule 7 of the Central Excise Rules, 2002, where the assessee is unable to determine the value of excisable goods, they may request the jurisdictional Assistant Commissioner of Central Excise or Deputy Commissioner of Central Excises, as the case may be, in writing/giving reasons for payment of duty on provisional basis. However, in the case, the assessee has not done so, in spite of their inability to determine the correct value. Rule 7 also provides that in case of excess payment, the assessee is entitled to a refund, consequent to an order of final assessment. No financial hardship is pleaded - Partial stay granted.
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