2005 (4) TMI 413 - AT - Central Excise

Summary

Issues: Valuation of Copper Concentrate for central excise duty, application of CAS-4 Standard, short-levy determination, condonation of delay in filing appeal.

In this case concerning the valuation of Copper Concentrate for central excise duty, the appellant had been valuing the goods based on the cost of production for the "immediately preceding two months." However, it was determined under the impugned orders that there was short-levy during certain months, leading to a direction for the appellant to pay the differential duty. The Tribunal noted that the Board had issued a Circular clarifying that the cost of production of captively consumed goods should be determined in terms of CAS-4, a Standard of Valuation developed in consultation with the Institute of Cost and Works Accountants of India. The Tribunal found that the valuation in the present cases had not been done in accordance with the CAS-4 Standard and, therefore, directed the cases to be remanded for a fresh determination in line with CAS-4 Standard, waiving the requirement for pre-deposit.

Furthermore, the Tribunal highlighted that one of the appeals involved a short delay of 5 days in filing the appeal before the Commissioner. Given that the issue was the same in all the appeals, the Tribunal decided to take up the appeal on its merits after condoning the short delay. Ultimately, the Tribunal allowed the appeals by way of remand, setting aside the impugned orders and remanding the cases to the original authority for a fresh determination of assessable values in accordance with CAS-04. The judgment was dictated and pronounced in open court by the Member (T).