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2010 (11) TMI 161 - AT - Central ExciseClubbing of clearances - SSI exemption -Revenue entertained a view that two units are not independent units and as such, the clearance value of both the units is required to be clubbed for the purpose of small scale exemption benefits - One unit is a Private Limited whereas the other is a Partnership firm. Merely because the two units have proximity, common passage, common storage of raw materials or inter relationship of partners of the units, cannot be a sole ground for clubbing of clearances - Further observed that there is no evidence of any financial flow back of funds between the two units - Hence, decided in against of revenue. Bought out items - Assessable value - The assessee have imported spares and components of dental chair and the same were kept at their godown located elsewhere and were supplied directly from the godown to the buyers under the cover of commercial invoice. . The same were not brought to the factory premises and no work or process was done on the same. Held that: The Tribunal in the case of Suz-dent (India) Pvt. Limited v. CCE, Ahmedabad, has held that imported/bought out articles supplied with own manufactured dental chairs is not required to be included in the assessable value of the final product. Dentail chair - Assessable vaue -The Revenue has no case that these hand-pieces equipments have been assembled or fitted into dentist chair - The supply of hand-pieces is only a trading activity - No manufacturing activity is undertaken by the assessee in connection with these hand-pieces, its value cannot be added to the assessable value of the dental chairs - The learned Counsel for the appellant has correctly placed reliance on the ratio of the decision of this Tribunal in Tata Telecom Ltd. v. CCE. Cochin - Hence, set aside the order impugned and allow the appeal.” Demand and penalty - No infirmity in the view adopted by the Commissioner (Appeals) in setting aside the demand of duty and penalties imposed upon the respondents - Accordingly, appeals filed by the Revenue fail.
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