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2013 (6) TMI 683 - GOVERNMENT OF INDIADenial of abatement of duty - loss subsequent to removal from refinery - violation of the condition 2(iii) of the Board’s Circular No. 804/1/2005-CX, dated 4-1-2005 - held that:- facility of removal of petroleum products without payment of duty from factory of production to export warehousing continues to be available vide Notification No. 46/2001-C.E. (N.T.), dated 26-6-2001. The said circular has specifically stated that no storage losses in export warehouses will be allowed. The para 2(iii) of Circular dated 4-1-2005 states that refinery shall be liable to discharge the duty on the quantity cleared from factory itself and there will be no question of any abatement with regard to any losses subsequent to removal from refinery. This clarification pertains to clearance of goods on payment of duty. However, in case goods, are cleared under bond without payment of duty, the same clarification will also apply since there is no explicit mention of allowing transit losses for such clearances. As per said circular storage losses in export warehouse are not permitted, and therefore there is no reason to allow transit loss in the absence of any explicit provision - Decided in favour of Revenue.
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