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2016 (5) TMI 274 - HC - Central ExciseValuation - inclusion of pre-inspection charges in the assessable value of goods - Petitioner submitted that the Assistant Commissioner committed a serious error in confirming duty demand contrary to the decision of the Tribunal in case of the petitioner itself which is a breach of the principles of judicial discipline - Held that:- the Assistant Commissioner committed a serious error in ignoring the binding judgment of superior Court that too in case of the same assessee. The principle of precedence and judicial comity are well established in our legal system, which would bind an authority or the Court by the decisions of the coordinate Benches or of superior Courts. Time and again, this Court has held that the departmental authorities would be bound by the judicial pronouncements of the statutory Tribunals. Even if the decision of the Tribunal in the present case was not carried further in appeal on account of low tax effect, it was not open for the adjudicating authority to ignore the ratio of such decision. It only means that the Department does not consciously agree to the view point expressed by the Tribunal and in a given case, may even carry the matter further. However, as long as a judgment of the Tribunal stands, it would bind every Bench of the Tribunal of equal strength and the departmental authorities taking up such an issue. An order that the adjudicating authority may pass is made appealable, even at the hands of the Department, if the order happens to aggrieve the Department. This is clearly provided under Section 35 read with Section 35E of the Central Excise Act. Therefore, even after the adjudicating authority passes an order in favour of the assessee on the basis of the judgment of the Tribunal, it is always open to the Department to file appeal against such judgment of the adjudicating authority. Therefore, only choice open for the adjudicating authority, was to decide the case in consonance with the judgment of the Tribunal dated 16.06.2014 and thereafter leave it to the Departmental authorities to decide the question of filing appeal against such an order, if otherwise permissible in law. Impugned order dated 16.10.2015 is set aside. No opinion is expressed on the legal issue of includability of the predelivery inspection charges in the assessable value of the goods. - Decided in favor of assessee.
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