TMI Blog2016 (10) TMI 568X X X X Extracts X X X X X X X X Extracts X X X X ..... etroleum products from installation is only material for charging duty of Central Excise, subsequent sale from COCOO being immaterial. CESTAT, Bangalore has given the meaning of place of removal for the period prior to 14.5.2003. The case in hand is for the period March 1999 to November 2001, which is prior to 14.5.2003, for which old definition of place of removal is relevant. For the period prior to 14.5.2003, the place of removal did not include the premises like COCOO. The price charged by these outlets from the ultimate buyer, therefore, cannot be included in the transaction value for arriving at the duty of Central Excise for the subject goods. Appeal allowed - decided in favor of appellant. - E/237/2005-DB - Final Order No. 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , being the normal price. ii. Board Circular dated 30.6.2000 clarifies that the valuation of price for administered petroleum products be continued to be made as per hitherto practice of assessment. iii. Rule 7 is not applicable as the COCOO outlets are not place of removal. The definition of place of removal was amended to include depots only w.e.f. 14.5.2003. iv. Issue has been settled in favour of the appellant in the following cases. a. BPCL vs. CCE, Bangalore: 2007 (218) ELT 585 (Tri.-bang.) b. IOCL vs. CCE, Hyderabad: 2010 (252) ELT 396 (Tri.-Bang.) c. CCE, Visakhapatnam vs. BPCL Others vide Final Order No.387 to 390/2012 dated 7.6.2012 d. IOCL vs. CCE, Mangalore vide Final Order No.468-470/2012 dated 17. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of removal means (a) a factory or any other place or premises of production or manufacture of the excisable goods; (b) a warehouse or any other place or premises wherein the excisable goods have been permitted to be deposited without [payment of duty;] from where such goods are removed; From 14.05.2003 place of removal means- (a) a factory or any other place or premises of production or manufacture of the excisable goods; (b) a warehouse or any other place or premises wherein excisable goods have been permitted to be deposited without [payment of duty;] (c) a depot, premises of a consignment agent or any other place or premises from where the excisable goods are to be sold after their clearance fr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ficance to the issue on hand. The sale prices from the terminal points to the dealers were based on APM prior to 01.04.2002 (that is as determined by a different authority and adopted by the oil marketing companies) and from 01.04.2002 the same have been determined by the oil marketing companies themselves. For valuation purposes, it is immaterial as to whether the transaction value was based on APM or self determined by OCM. Since in respect of transfers to COCO outlets, the price applicable to dealers at the place of removal (that is terminal points) has been adopted, the same is legal and proper. There is no valid reason to interfere with the orders of the Commissioner (Appeals). In the above order, CESTAT, Bangalore has given the m ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... any infirmity in the conclusion reached by the Commissioner (Appeals) in respect of each of the above periods. Further, we notice that the fact of removal to the COCO Outlets are undisputedly with the knowledge of the Department. In respect of clearances made to the depot (assuming that COCO Outlet has to be treated as a depot), the submission of the Department that the entire extra collection should be added to the assessable value, is contrary to the legal provisions. The assessment of goods transferred to the depot is required to be done at the time and place of removal. The goods removed to the depot may be sold after a lapse of time and it could be considerable time, in some cases. The law envisages that the price of the greatest aggr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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