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2018 (7) TMI 979 - AT - Central Excise100% EOU - Valuation - goods manufactured and cleared by 100% EOU - whether the valuation shall be governed by Section 4 of Central Excise Act, 1944 or Section 14 of Customs Act, 1962? - Held that:- As per the facts of the case, the goods were manufactured out of the imported and some of the indigenous raw material and cleared in DTA on payment of duty. Some of the goods were cleared to the appellants own sister unit and part of the goods manufactured and cleared to the independent manufacturer - as per Section 3 proviso, Clause (ii) of CEA, it is clear that the value for the purpose of DTA sale shall be determined in accordance with the provisions of the Customs Act, 1962 and the Customs Tariff Act, 1974 - Thus, there is no doubt that the valuation in respect of goods manufactured by EOU shall be adopted in accordance with the Customs Act, 1962. As regards the judgement of Hon’ble Supreme Court in the case of Nestle India Ltd [2015 (11) TMI 1171 - SUPREME COURT], it is found that in the said case the fact was different as the goods were manufactured from only indigenous raw-material and allowed to be sold in DTA, whereas in the present case, the goods were manufactured out of the imported and some of the indigenous raw material and cleared in DTA on payment of duty - As per the holistic view from the overall scheme for 100% EOU, the object is that goods manufactured by 100% EOU should be exported and if it is permited to be cleared in DTA, duty equal to the Customs duty should be charged. Appeal dismissed - decided against appellant.
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