2014 (7) TMI 612 - AT - Central Excise

Waiver of pre deposit - valuation - inclusion of value of barrels which were supplied by the customers for packing liquid glucose - Held that - barrels are supplied by the customers in which liquid glucose is cleared and the barrels are repeatedly used. As the barrels are supplied by the customers, therefore the value of the barrels is not to be included in the assessable value. In the alternative, the contention is that the barrels are durable and returnable packing materials and are repeatedly used, therefore the value is not to be added to the assessable value of the final product - Following decision of Tata Chemicals Ltd. vs. CCE reported in 2006 (3) TMI 55 - SUPREME COURT - Stay granted.

Summary

The Appellate Tribunal CESTAT Mumbai ruled in favor of the applicant for waiver of pre-deposit of duty, interest, and penalty. The demand was contested due to the value of barrels supplied by customers for packing liquid glucose. The Tribunal found the applicant had a strong case based on a Supreme Court decision and waived the pre-deposit, staying the recovery during the appeal.