2015 (4) TMI 854

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..... ri Gagan Kohli, Advocate For the Respondent : Shri Pramod Kumar, Authorized Representative (Jt. CDR) ORDER Per. Rakesh Kumar :- The appellant are manufacturers of Sponge Iron. Their sales are at the factory gate. In respect of clearances where the goods are despatched for transportation by road there is no special packing. However, in the cases where the goods sold are despatched through railw .....

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..... rom the factory to railway station and unloading and loading expenses and security expenses at the railway station would not be includible in the assessable value. However, he has held that the special packing for transportation through rail and the loading expenses in the factory would be includible in the assessable value. On this basis, after giving cum duty benefit, he has confirmed the duty d .....

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..... cost of packing in gunny bags in cases of transportation in railways would not be includible, and that recently Tribunal in the case of Goyal M.G. Gases Pvt. Ltd. vs. CCE, Ghaziabad reported in 2014 (309) E.L.T. 327 (Tri. Del.) has held that when the industrial gases being manufactured by the assessee were marketable without being packed in cylinder as the same were also being sold through pipelin .....

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..... rucks there is no special packing. Since the Sponge Iron is sold at the factory gate without being packed, it is marketable as such, in our view the cost of special packing in the cases of transportation through railways would not be includible in the assessable value of the goods and in this regard we are supported by the judgment of the Tribunal in the cases of Goyal M.G. Gases Pvt. Ltd. vs. CCE .....

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..... pugned order is upheld only to the extent of the duty demand on the loading expenses incurred inside the factory and the rest of the duty demand, interest thereon and equivalent penalty under Section 11AC is set aside. The duty demand, which has to be upheld, is to be quantified by the Commissioner. The appeal stands disposed of as above. (Order pronounced in the open court on 27/03/2015.)
Ca .....

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