2017 (10) TMI 1223 - AT - Central Excise

Rectification of mistake - application for change in the cause title of the appeal - Held that - application for change in the cause title of the appeal inasmuch as the appellant, who was earlier known as M/s Met Trade India ltd., is now, Metenere Ltd., w.e.f. 21.11.2013 - In view of the fact of change in the company s name, we allow the miscellaneous applications and replace the old name of the appellant with the new name.

Summary

Issues:
1. Change in the company's name in the cause title of the appeal.
2. Refund claim under Notification No. 56/2002-CE regarding inclusion of freight elements in transaction value.

Analysis:

Issue 1: Change in the company's name in the cause title of the appeal
The judgment addresses the miscellaneous application for a change in the cause title of the appeal due to the appellant, previously known as M/s Met Trade India Ltd., now being Metenere Ltd. The certificate from the registrar of the company confirming this change is presented. The tribunal acknowledges the change in the company's name and allows the miscellaneous application to replace the old name with the new one.

Issue 2: Refund claim under Notification No. 56/2002-CE regarding inclusion of freight elements in transaction value
The case involves the appellant availing self-credit for duty paid, excluding Cenvat Credit, for February 2007 and filing a refund claim under Notification No. 56/2002-CE. The revenue authorities noted that the appellants included freight elements in the transaction value, paid duty on it, and subsequently claimed a refund under the said notification. The adjudicating authority rejected the refund claim based on the inclusion of the freight element in the assessable value. On appeal, the Commissioner held that duty should not have been paid on the assessable value inclusive of freight, and thus, the excess duty paid should not be refunded. However, referring to precedents like Krishi Rasayan Exports Pvt. Ltd. and Ultimate Flexipack Limited cases, the tribunal found that for FOR sales, outward freight is included in the assessable value, making duty paid on such value eligible for a refund under the exemption Notification No. 56/2002-CE. As the appellant's clearances were on a FOR basis without separate freight charges, the tribunal set aside the impugned order, allowing the appeal and granting consequential relief to the appellant.

This judgment clarifies the principles regarding the inclusion of freight elements in the assessable value for duty payment and subsequent refund claims under specific notifications, providing guidance based on established legal precedents.