TMI Blog2018 (6) TMI 1349X X X X Extracts X X X X X X X X Extracts X X X X ..... 6-2018 - Hon ble Mr. Anil Choudhary, Member (Judicial) And Hon ble Mr. Bijay Kumar, Member (Technical) Sh. Rahul Tangri, Advocate - for the appellant Ms. Tamana Alam, DR - for the respondent ORDER Per : Bijay kumar The present appeal is filed against the above mention Order-in-Appeal. The issue involve in this case pertains to inclusion of VAT subsidy amount (in the form of Vat-37 B challans, which can be utilized for subsequent period for discharge VAT), for arriving at the assessable value under Section 4 of the Central Excise Act, 1944. Accordingly, the Revenue proceeded to include such subsidy amount in the value of the goods cleared by the appellant and demanded the differential duty. Being aggrieved, the appell ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted from the transaction value for payment of excise duty. Revenue has taken the view that payment of VAT using 37B Challans cannot be considered as actual payment of VAT. 8. Both sides have referred to the decision of the Apex Court in the case of Super Synotex India Ltd. In the above decision the Apex Court has categorically held that after 01/07/2000, unless the sales tax/VAT is actually paid to the good, no benefit towards excise duty can be given in terms of Section 4(3)(d). However, we note that the Tribunal in the case of Welspun Corporation Ltd. (Supra) has distinguished the decision of the Apex Court in the light of Gujarat VAT Act, 2003. In the Welspun Corporation Ltd. case, the assesse had opted for remission of tax scheme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... riod. The remission of tax is thus directly related to capital investment in fixed asset. There was no option to claim exemption from payment of sales tax. The quantum of remission was based upon the investment made in the fixed assets. The condition of the remission amongst others included to remain in production, employment of certain percentage of persons in assessee unit, and numerous other conditions as brought out in Para 9 of the impugned Order-in-Appeal. 11. By following the decision of the Tribunal in the Welspun Corporation Ltd. case we conclude that there is no justification for inclusion in the assessable value, the VAT amounts paid by the assessee using VAT 37B Challans. 12. In the result, the impugned orders are ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
