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Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2015 (3) TMI AT This

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2015 (3) TMI 333 - AT - Central Excise


Issues:
Assessable value determination including freight and carrying cost, inclusion of profit element in assessable value, Chartered Accountant's certificate validity.

Assessable value determination:
The Respondents were engaged in manufacturing glass bottles and received unprinted bottles from another unit, printed them with a buyer's brand, and cleared them after paying central excise duty. Show Cause Notices were issued for non-inclusion of insurance, freight charges, and other costs in the assessable value. The adjudicating authority found the assessable value adopted by the Respondents to be lower and confirmed a duty demand. The Commissioner (Appeals) modified the order, reducing the demand. The Revenue appealed, arguing that the adjudicating authority considered the profit element and that various charges were reduced without proper justification. The Tribunal noted the Chartered Accountant's Certificate and worksheet used by the Commissioner (Appeals) which were not refuted by the Revenue. The Tribunal upheld the Commissioner (Appeals) decision, rejecting the Revenue's appeals.

Inclusion of profit element in assessable value:
The Revenue contended that the adjudicating authority included various charges in the assessable value, considering the profit element. The Revenue argued that the charges were reduced without proper reasons or documentary proof. However, the Tribunal found that the Commissioner (Appeals) based the decision on the Chartered Accountant's figures, which were not challenged by the Revenue. The Tribunal held that without cogent material, the Commissioner (Appeals) findings cannot be discarded. Consequently, the Tribunal rejected the Revenue's appeals.

Chartered Accountant's certificate validity:
The Tribunal considered the Chartered Accountant's Certificate and worksheet used by the Commissioner (Appeals) in determining the duty liability. The Revenue did not provide any material to refute the Chartered Accountant's figures. The Tribunal noted that the Commissioner (Appeals) findings were based on the Chartered Accountant's figures, which remained unchallenged by the Revenue. Therefore, the Tribunal upheld the decision of the Commissioner (Appeals) and rejected the Revenue's appeals.

 

 

 

 

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