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2016 (6) TMI 467 - AT - Central ExciseValuation - Includability - Value of valve bodies supplied by principal manufacturer under job work provision as laid down under Rule 57F(3) of the Central Excise Rules, 1944 and Rule 4(5)(a) of Cenvat Credit Rules, 2004 - Demand of duty and imposition of penalties - Appellant had already paid excise duty on the rubber product manufactured by them and also on the job work charges - Held that:- the job work activity since clearly covered under job work provisions, no duty is required to be paid on the job work activity in terms of Notification No. 214/86-CE. Accordingly value of machine bodies supplied by the principle manufacturer need not to be added or same should not be levied with excise duty. The issue in the present case is squarely covered by the judgment of Hon’ble Supreme Court in case of International Auto Ltd Vs. CCE [2005 (3) TMI 132 - SUPREME COURT OF INDIA]. Therefore, by following the same the appellant are not required to pay duty on the machine body supplied by the principle manufacturer therefore the impugned order is not sustainable. Also the penalty imposed on the appellant is set aside. - Decided in favour of appellant
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