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2022 (4) TMI 1102 - AT - Central ExciseValuation - Determination of Excise Duty - amount of Assam VAT adjusted by the Appellant against the VAT remission granted under Assam Industries (Tax Exemption) Scheme, 2009 - demand on the ground that the Assam VAT collected by the Appellant was not paid to the Government exchequer and should have formed part of the assessable value of the goods removed during the period under dispute - extended period of limitation - HELD THAT:- The Appellant manufactured and cleared excisable goods, the value of which are assessed under Section 4(1)(a) of the Central Excise Act, 1944. The Appellant has availed VAT remission under Assam Industries (Tax Exemption) Order, 2005 w.e.f. March 2011. As per terms of the above remission scheme the Appellant charged and collected 100% of the VAT payable from their buyers, retained 99% of the same and paid only 1% to the State Government. Department alleged that the as per Section 4(3)(d) of the Central Excise Act, 1944, the aforesaid amount of 99% of the VAT collected from buyers, which was not paid to the State Government is not excludible and should have formed part of Assessable Value for the purpose of payment of Central Excise duty. Extended period of limitation - HELD THAT:- On perusal of Circular No.1063/2/2018-CX dated 16.02.2018 and decision of the Hon’ble Supreme Court in COMMISSIONER OF CENTRAL EXCISE, JAIPUR-II VERSUS M/S. SUPER SYNOTEX (INDIA) LTD. AND OTHERS [2014 (3) TMI 42 - SUPREME COURT], it can be held that the differential duty, if any, is to be held as payable only for the period falling within the normal time limit. The extended period of limitation will not be available to the Department to raise such demand. The matter is remitted to the Ld.Adjudicating authority only for the limited purpose of re-quantifying the demand falling within the normal period of limitation - appeal allowed by way of remand.
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