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2018 (12) TMI 1168 - AT - Central ExciseImposition of oil cess and National Calamity Contingent Duty (NCCD), education cess(EC), secondary and higher secondary education cess(SHE) - “Condensate” which emerges out during the processing of natural gas in their gas plant - Held that:- The oil cess in terms of Section 15 of OIDA, is required to be collected as duty of excise as per the rate the specified item in the schedule. As per the Act the provision of Central Excise and Salt Act, 1944 and Rules made there under, including those relating to refunds and exemption from duty, cess, as far as may be, applied in relation to levy and collection of duty of excise leviable under this Section and for this the provision of that Act shall have affect as if that Act provided for the levy of duty of Excise on all items specified in the schedule. It is evident that “condensate” is obtained and received from natural gas processing plant as a by-product where the manufacturing of the aforesaid “condensate” was never intended, thus this question of classification and payment of cess in the form of duty of excise is not leviable although the Adjudicating Authority has referred to Section 2 (f) and 2 (d) of Central Excise Act to claim of imposition of oil cess on the “condensate” as a manufactured product. Time limitation - Held that:- In this case the Show Cause Notice is issued under the provisions of Section 11A(1) of the Act thus the demand is time barred as no extended period of limitation has been invoked in the Show Cause Notice dated 25.3.2015. The Show Cause Notice invoked the provisions of Section 11 A(1) of Central Excise Act, 1944 read with Section 15 of Oil Industries Development Act - the demand is time barred. The oil cess is not leviable on the “condensate” and under OIDA either on merits or also on limitation - appeal allowed - decided in favor of appellant.
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