TMI Blog2014 (12) TMI 945X X X X Extracts X X X X X X X X Extracts X X X X ..... he demand pertained to the period April, 2007 to December, 2010, whereas the show-cause notice has been issued only on 27.7.2011. Therefore, the demand for the period April, 2007 to June, 2010 would be clearly time barred and the demand cannot be sustained in law. We further see that the appellant has discharged the duty liability on the scrap, which has been generated and the transaction could have been undertaken under Rule 4(5)(a) of the Cenvat Credit Rules. If the appellant had followed the said procedure instead of paying duty, the question of inclusion or exclusion of value of the scrap would not have arisen at all. In these circumstances, the question of addition to value of scrap, is not sustainable. - Decided in favour of assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ave discharged the duty liability on the job-worked goods at the price at which these goods were sold by M/s SAIL to the customers and the transaction is covered under Rule 10A(i) of the Central Excise Valuation Rules, 2000. Inasmuch as the duty liability has been discharged on the price at which the job-worked goods were sold by the principal manufacturer, the question of adding the value of the scrap generated does not arise at all. Therefore, the demand pertaining to transaction in respect of M/s SAIL is completely unsustainable in law. 3.1 As regards the transaction with M/s KEC International Ltd. and RPG Transmission, the learned Counsel submits that principal manufacturer did not sell these goods but captively consumed the same in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e value of the excisable goods shall be the transaction value of the said goods sold by the principal manufacturer; (ii) in a case where the goods are not sold by the principal manufacturer at the time of removal of goods from the factory of the job-worker, but are transferred to some other place from where the said goods are to be sold after their clearance from the factory of job-worker and where the principal manufacturer and buyer of the goods are not related and the price is the sole consideration for the sale, the value of the excisable goods shall be the normal transaction value of such goods sold from such other place at or about the same time and, where such goods are not sold at or about the same time, at the time nearest t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... IL. 5.3 As regards the transaction pertaining to M/s KEC International and M/s RPG Transmission Ltd., the demand pertained to the period April, 2007 to December, 2010, whereas the show-cause notice has been issued only on 27.7.2011. Therefore, the demand for the period April, 2007 to June, 2010 would be clearly time barred and the demand cannot be sustained in law. We further see that the appellant has discharged the duty liability on the scrap, which has been generated and the transaction could have been undertaken under Rule 4(5)(a) of the Cenvat Credit Rules. If the appellant had followed the said procedure instead of paying duty, the question of inclusion or exclusion of value of the scrap would not have arisen at all. In these circu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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