Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2009 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2009 (7) TMI 293 - CESTAT NEW DELHIValuation – Stock transfer to another unit – assessable value whether to be determined under Rule 6(b)(i) or 6(b)(ii) - revenue assessed goods based on price of other units in vicinity of appellants – not feasible to determine assessable value under Rule 6(b)(ii) - while determining the value of the goods under Rule 6(b)(ii), the profit to be included is the notional profit which the assessee would have earned in normal course and not the actual profit and the notional profit has to be added even if during the particular year there is loss. In this regard as per the Board Circular No. 258/92/96-CX., dated 30-10-96 the “profit before tax” as percentage of cost of production taken from the previous year’s audited balance sheet is to be adopted. – No-misstatement or suppression of facts, hence larger period not invocable - provisions of Sections 11AB and 11AC are not applicable as there is no short levy, non-levy, willful misstatement - held that while determining the assessable value of goods being cleared for captive consumption, assessable value to be based on value of comparable goods making adjustments, as per Rule 6(b)(i) – Sub-clause (ii) can be invoked only if value cannot be determined under sub-clause (i) - while applying Rule 6(b)(i), it is the general factory gate price under Section 4(1)(a) to be adopted – such price more representative price than contract price to buyer - while holding that in this case, the assessable value is to be determined under Rule 6(b)(ii) of CEVR, 1975, read with the Board’s Circular No. 258/92/96-CX., dated 30-10-96, set aside the impugned order and remand the matter to the original adjudicating authority for re-quantification of the duty demand
|