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2015 (6) TMI 433 - AT - Central ExciseDuty demand - Captive consumption - Whether the Transmission Assemblies captively consumed in the manufacture of tractors of Engine Displacement Capacity (EDC) below 1800-CC manufactured by respondent during the period 1.8.1996 to 1.06.1998 is exigible to excise duty - Bar of limitation - Held that:- TA comes into existence during manufacture of Tractor, is an intermediate product and the same is a distinct product commercially known to the market as such. The Apex Court [2015 (5) TMI 28 - SUPREME COURT] has categorically held that the transmission assemblies of tractors are commercially known products, and that the fact that not a single sale of such Assembly has been made by the appellants is irrelevant. The ratio in the above case is squarely applicable to the case before us. We, therefore, have no doubt to hold that in this case the TAs came into existence in manufacture of Tractors by the respondent and the same are excisable goods. We therefore, uphold the levy of excise duty on TAs which came into existence in the course of manufacture of Tractors. - Respondent cannot be accused of any fraud, wilful misstatement or suppression of facts so as to invoke the extended period of limitation clause as per proviso to Section 11A(1) of the Central Excise Act, 1944. Since the Show Cause Notice for demand of duty for the period from 1.8.1996 to 1.6.1998 has been issued on 31.8.2001, the same is wholly time barred and the duty demand is not sustainable on limitation. - Decided against Revenue.
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