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2023 (10) TMI 871 - AT - Central ExciseValuation of excisable goods transferred to other units - same products are also sold by the Appellant to unrelated buyers from its depots/ stockyards - to be valued at 110% of cost of production under Rule 8 of the Central Excise Valuation Rules, 2000 or not - HELD THAT:- The issue is no longer res integra as as the issue has already been decided in favour of the Appellant in the case of ISPAT INDUSTRIES LTD. VERSUS COMMISSIONER OF C. EX., RAIGAD [2007 (2) TMI 5 - CESTAT, MUMBAI], wherein it has been held that the provisions of Rule 8 of Central Excise Valuation Rules will not apply in a case where some part of the production is cleared to the independent buyers. The submission of the Appellant agreed upon that it is a settled position that Rule 8 of Excise Valuation Rules will not be applicable if apart from captive consumption, independent sales are also taking place directly from the factory gate or the depot of the manufacturer - Rule 8 of Central Excise Valuation Rules will not be applicable in this case and hence the demand of duty confirmed in the impugned order is not sustainable. Since the duty demand is not sustainable, the question of demanding interest and imposing penalty does not arise. The impugned order set aside - appeal allowed.
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