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2015 (2) TMI 521 - AT - Central ExciseDemand of differential duty - Levy of duty on molasses - Held that:- When the prevailing price of the molasses was at ₹ 100 per metric tone, the appellant have sold the molasses at much reduced price of ₹ 10 per metric tonne and have paid duty on this basis for which there is no justification. We find that it is not disputed that during the period of dispute there was control of the State Excise Authorities over the production storage and sale of molasses and that sale of molasses, in question, at reduced price was under intimation to the State Excise Commissioner. It is seen that in the sale invoices of the molasses, the same has been mentioned as of second grade. In this case, there is neither allegation nor there is any evidence that the sale of the molasses was not to independent buyers and that the price was not the sole consideration of sale. When it is not disputed that the sale was to independent buyers and price was the only consideration for sale and was not influenced by any other consideration, in our view, there would be no justification for rejecting the sale price and adopting the comparable price at which the molasses was being sold by other manufacturers as the assessable value. Moreover, when the sale invoices show the molasses sold on of second quality, if the Department alleges that it was of first quality, and therefore, must have been sold at much higher price, it is for the Department to produce evidence in this regard, which has not been done. - Impugned order not sustainable - Decided in favour of assessee.
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