Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2023 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (11) TMI 214 - AT - Central ExciseValuation - Recovery of the differential duty alongwith interest and penalty - determination of assessable value of insulated copper conductors manufactured by the appellants on job work basis during the period 01.04.2007 to 08.09.2008 - goods captively consumed - applicability of Rule 8 of the Central Excise Valuation Rules, 2000 - HELD THAT:- This issue is no more res-integra and has been considered by this Tribunal in the case of ROLASTAR PVT. LTD. VERSUS COMMISSIONER OF CENTRAL EXCISE, DAMAN [2011 (9) TMI 776 - CESTAT, AHMEDABAD] taking note of the amended provisions, namely, Rule 10A of Central Excise Valuation Rules, 2000 and Circulars issued on the subject by the Board from time to time and following the earlier order, held that Rule 8 is applicable to the assessee who manufactures the goods and uses the same captively either by himself or on his behalf. The said Rule would have been applicable if M/s. Sai Flipped Coil Pvt. Limited would have manufactured the goods themselves and then used the same captively. The Hon’ble Supreme Court in the case of CCE, Pune vs Mahindra Ugine Steel Co Ltd [2015 (4) TMI 351 - SUPREME COURT] interpreting Rule 8 and Rule 11 of Central Excise Valuation Rules, 2000 for determination of the assessable value of the goods manufactured on job work basis held that Rule 11 would be applicable in arriving at the assessable value of the excisable goods. In the said case, the respondent was engaged in the manufacture of motor vehicle parts from the raw material supplied by the manufacturers of the motor vehicles on labour charge basis - The question before the Hon’ble Supreme Court was whether Rule 8 of the Central Excise Valuation Rules, 2000 or Rule 11 would apply in arriving at the valuation of the goods at the end of the assessee and it was held that Rule 8 is not applicable in the case of the respondent, it is Rule 11 only which becomes applicable as that is residuary provision for arriving at the value of any excisable goods which are not determined under any other rule. Even though the aforesaid judgement was delivered prior to insertion of Rule 10A, however, there is no change in the wordings of Rule 8 after 01.03.2007, and the facts of the present case do not fall either under sub-rule (i) or sub-rule (ii) of Rule 10A of Central Excise Valuation Rules, 2000. Thus, following the principle laid down in aforesaid judgments, it is opined that Rule 8 of Central Excise Valuation Rules, 2000 is not applicable to the facts of the present case. There are no merit in the impugned order passed by the ld. Commissioner (Appeals) - appeal allowed.
|