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2017 (12) TMI 225 - HC - Central ExciseValuation - Compounded Levy Scheme - section 3A of the Central Excise Act - annual production capacity - case of Revenue is that the petitioners had initially applied for being covered by annual production capacity regime and had availed all the notifications issued under the said scheme - Held that: - Section 3A of the Central Excise Act introduced with effect from 16.12.1998 pertained to the power of Central Government to charge excise duty on the basis of capacity of production in respect of notified goods. Under subsection( 1) of section 3A, notwithstanding anything contained in section 3, the Central Government would have the power to notify certain goods to safeguard the interest of revenue on which duty would be leviable in accordance with the provisions of the said section - when the petitioners applied to the Commissioner on 24.4.1999 to enable them to pay the duty on actual production and not on ACP, prospectively, the Commissioner had to decide such applications and ordinarily, we see no reason why such applications had to be rejected. The Commissioner erred in not deciding such applications as well as in concluding that the petitioners and other manufactures did not have any such option. Order of the Commissioner therefore, must be set aside. The proceedings remanded to the Commissioner for considering such applications of the petitioners and thereafter, passing consequential orders - appeal allowed by way of remand.
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