2008 (7) TMI 274

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..... ndent. [Order per: P. Karthikeyan, Member (T)]. - The impugned order affirmed demand of differential duty of Rs. 3,31,115/- pertaining to the clearances of excisable goods by the appellants made during the year 1996-97. The Commissioner (Appeals) also sustained the demand of interest due on the duty demand and equal amount of penalty under Section 11AC of the Central Excise Act, 1944. Reiterating .....

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..... valued taking into account the profit margin of 8%. This was incorrect as the Chennai unit was consistently running in loss. In any case, had the appellant paid excess duty as per the computation made by the department, the appellant's Gurgaon unit would have instantly got Cenvat credit of the same amount. Therefore, the exercises undertaken by the Revenue is revenue neutral. The learned consultan .....

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..... could be applied when revenue neutral situation came about in relation to the credit available to the assessee himself and not by way of availability of credit to the buyer of assessee's manufactured goods. In the instant case, the manufacturer unit as well as buyer unit belong to the same company. Therefore, undisputedly a revenue neutral situation exists in relation to variation in duty liabili .....

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