Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2019 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (2) TMI 754 - AT - Central ExciseMethod of Valuation - Clearance of MS Ingots to other division - case of the revenue in the SCN is that the clearances effected by appellant to rerolling division should have been valued under Rule 8 of the Central Excise Valuation Rules, 2000 by arriving at cost construction basis and add to that profit margin - revenue neutrality - Held that:- It is the case of the revenue and the adjudicating authority’s findings that appellant has undervalued the goods cleared to their rerolling division. This allegation is based upon the working of the authorities from the balance sheets supplied by the appellant. In our view, the findings of the adjudicating authority are unsustainable on the face of it. If the revenue authorities are not finding fault with the assessable value on which Central Excise duty is paid, when cleared to independent buyers, the said value needs to be considered as a correct assessable value. In the case in hand, there being no dispute of the assessable value cleared to independent buyers, the same value having been considered by the appellant for the clearances made to the sister concern is correct and cannot be called out for revaluating the clearances made to sister unit. Revenue neutrality - Held that:- The clearances which were made by the appellants to the sister unit on payment of duty and sister concern is availing the CENVAT credit of such duty paid tantamount to revenue neutrality. The question of revenue neutrality would apply in its full force in favour of the appellant herein - the demand for the period by invoking extended period is unsustainable. Appeal allowed - decided in favor of appellant.
|