Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2016 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (2) TMI 864 - CESTAT BANGALOREValuation of machineries cleared to the job-workers - duty liability by the appellant as the value after availing benefit of depreciation - Held that:- As it is undisputed that the appellant has cleared the machineries to their job-workers from whom they got the goods manufactured. Such manufactured goods were brought to their factory for use and final products were cleared on payment of appropriate duty. It is responsible statement of the learned counsel, that the machineries subsequently returned back to the appellant, though this position is not forthcoming from the records. In our considered view that the discharge of duty liability by the appellant as the value after availing benefit of depreciation seems to be correct for more than one reason. The machinery being manufactured in the year 1996 was disputed by the first appellate authority in his impugned order while we find from the adjudication order that the adjudicating authority has recorded that it is claimed by the assessee that the machinery was manufactured in 1996, but the said claim of the assessee is not controverted in anyway in the adjudication order. The first appellate authority was hearing the appeal filed by the assessee could not have come to a conclusion that the said machineries were indeed not manufactured in 1996, without any evidence. Secondly, we find that C.B.E.C. in Circular No. 643/34/2002-CX. dated 1.7.2002 at point No. 14 while accepting the discharge of duty liability in respect of capital goods on which Cenvat credit has been taken and put to use cleared for subsequently, categorically stated that in respect of capital goods adequate depreciation may be given as per the rates fixed in letter F. No. 495/16/93-Cus-VI dated 26.5.1993, issued on the Customs side. From the above, clarification, it is clear that if any capital goods on which Cenvat credit has been availed and put to use and subsequently removed, depreciation needs to be given as per the clarification of C.B.E.C - Decided in favour of assessee
|