Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2017 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (6) TMI 46 - CESTAT CHENNAI100% EOU - N/N. 1/1995-CE dated 4.1.1995 - clandestine removal of finished goods which were manufactured using the duty-free raw materials as well as capital goods - whether the raw materials/capital goods used for manufacture of finished products have been subjected to duty as per the order of the Settlement Commission are liable to duty or not? - Held that: - if the goods are not exported, the exemption as per the Notification is eligible if the finished goods are cleared on payment of appropriate excise duty - In the present case, undisputedly, the appellants have paid the excise duty on the finished goods. Therefore, the duty liability on the finished products have attained finality as per the order of the Settlement Commission dated 6.9.2007 - the department was all through aware of the SCN as well as the proceeding pending with regard to the demand of duty on the finished goods. In spite of that, there has been a delay of seven years in issuing the SCN demanding duty on inputs as well as capital goods. Extended period of limitation - Held that: - Since it is a continuous one, the time limit/limitation cannot be applied in the present case cannot be accepted for the reason that the department would very well have covered the same issue regarding the demand of duty on inputs/capital goods in the SCN issued for demanding duty on finished goods - the demand is barred by limitation. Appeal allowed - decided in favor of appellant.
|