9911796707
TMI Blog2011 (6) TMI 86X X X X Extracts X X X X X X X X Extracts X X X X ..... fresh decision, to reconsider the issue of limitation. However, it is seen from the said order of the Hon'ble High Court, that the findings on the point of Revenue neutrality has not been set-aside. In view of the said remand order, the appeal was re-listed for disposal. 2. We have heard Shri S.S. Gupta, learned advocate appearing for the appellants and Shri R.S. Srova, learned DR for the Revenue. 3. As per facts on record, the appellant M/s. Gujarat Glass Limited are engaged in the manufacture of Glass Bottles, Glass Vials at their factory situated at Kosamba. They were also fabricating casting moulds falling under Chapter 84 of Central Excise Tariff Act, 1985 and were utilising the same captively for manufacture of their ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... entire exercise was the Revenue neutral. By referring to various judgments, it stands submitted that in case of Revenue neutrality, no malafide intention can be attributed to the assessee, so as to invoke the longer period of limitation. 6. The demand also stands challenged on the point of limitation, inasmuch as the show cause notice was issued beyond the normal period of limitation. Learned advocate has drawn out attention to a letter written by the assessee himself on 16.03.2000, to their Superintendent of Central Excise, disclosing the fact of clearance of casting moulds to their sister unit at Jambusar and seeking guidance of the authorities in this respect. As such, submits the learned advocate that as a result of above decla ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... also but with caution. Having full regard to the said judgments, it appears to me that it is true that when credit is available to assessee himself there will not be an intent to evade payment of duty but the situation may not be same when credit is available to the sister concern. A situation may arise when one assessee may deliberately choose not to pay duty on the clearances to their sister concern and if the practice remained unnoticed beyond the period of limitation and if a demand is made invoking extended period of time, he will come with the plea that demand is time barred, there it cannot be said that there was no intention. Two or more sister concern units registered with Central Excise for the purpose of manufacture of excisable ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Jyoti Limited and M/s. India Foils Limited referred to by them in the said paragraph. Revenue neutral situation was considered in respect of the sister concern only. As such, the distinction drawn by the appellate authority is not appropriate. In any case, we find that the law on the above issue is no more res-integra and stands settled by various subsequent decisions. In case of Indian Oil Corporation Limited vs. CCE Mumbai 2010 (262) ELT 751 (Tri. Mumbai), it was held that clearance of cenvated inputs to sister unit without payment of duty result in Revenue neutral situation and no malafide can be attributed for invocation of longer period of limitation. At this stage, we may refer to the Hon'ble Supreme Court decision in the case of C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... T ON MOULD CLERAED TO OUR JAMBUSAR PLANT ON VERIFICATION OR OUR STORES RECORDS, IT WAS NOTICED THAT CERTAIN MOULDS MANUFACTURED AT OUT WORKSHOP HAVE BEEN CLEARED TO OUR JAMBUSAR UNIT UNDER OUR CHALLAN WITHOUT PAYMENT OF DUTY. THESE MOULDS ARE REQUIRED FOR THE PURPOSE OF MANUFACTURE OF GLASS BOTTELS CLASSIFIABLE UNDER CHAPTER 70 OF THE CENTRAL EXCISE TARIFF ACT AT OUR JAMBUSAR PLANT. THESE MOULDS HAVE BEEN USED BY OUR JAMBUSAR UNIT IN THE MANUFACTURE OF GLASS BOTTLES HOWEVER THE DUTY ON THESE MOULDS HAVE NOT BEEN PAID AT THE TIME OF CLEARANCE OF MOULDS FROM THE FACTORY. WE REQUREST FOR YOUR GUIDENCE IN THIS MATTER THANK YOU YOURS FAITHFULLY FOR GUJARAT GLASS LIMITED Sd/- x x x A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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