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2015 (12) TMI 72 - AT - Central ExciseDetermination of assessable value - whether the amount collected over and above the insurance premium paid to the insurance company is taxable in the hands of appellants - Held that:- The excess collection being profit in the hand of the appellant is immaterial to Section 4 of central excise law and that may be material to Income Tax Act, 1962. Therefore, following the ratio laid down by the Apex Court in the case of Baroda Electric Meters Ltd. v. Collector, Central Excise - [1997 (7) TMI 126 - SUPREME COURT OF INDIA] such excess is not liable to duty. Once there shall not be levy as above, levy of duty has unjustly enriched the State. That is the ratio laid down by the Apex court in the case of Union of India v. ITC - [1993 (7) TMI 75 - SUPREME COURT OF INDIA]. Accordingly, State is not empowered to keep that money without refunding to appellant. Such collection when refunded is not barred by limitation, following the ratio laid down in ITC case (supra) - Decided in favour of assessee.
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