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2016 (4) TMI 279 - AT - Central ExciseDuty liability and imposition of penalty - Moulds manufactured and captively used - Demand is for payment of duty on the various invoices raised by the appellant to receive payment from the buyers in respect of such moulds - Moulds not cleared out of the appellant's unit - Held that:- in view of the decision of Tribunal in the case of Elcon Clipsal India Ltd. vs CCE, Ahmedabad [2002 (9) TMI 140 - CEGAT, COURT NO. II, NEW DELHI], the exemption for captive consumption cannot be denied if the capital goods are used within the factory or production. The ownership of the goods is not relevant. The only criteria for grant of exemption is the capital goods manufactured in a factory are used within the factory of production which is being satisfied. It should be noted that on the first part of notice the demand is not for amortization of mould's cost, and hence, not giving any finding on that aspect. Therefore, the demand of duty on moulds is not sustainable and the penalties imposed based on such demand are also not sustainable. - Decided partly in favour of appellant
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