Central Excise - Fixing of assessable value in the case of goods captively consumed - Addition of profit - Central Excise - 6/72/85-CX.1

Central Excise - Fixing of assessable value in the case of goods captively consumed - Addition of profit F. No. 6/72/85-CX.1 Dated 11-3-1986 Government of India Ministry of Finance (Department of Revenue) Central Board of Excise Customs, New Delhi Subject : Central Excise - Fixing of assessable value in the case of goods captively consumed - Addition of profit I am directed to refer to the letter S. No. IV/16/3/85VC, dated 6-2-1985 of Collector of Central Exicse, Madurai, on the above subject, a copy of which is enclosed herewith. (Not printed) 2. The matter raised by the C.C.E., Madurai, has been examined in consultation with the Cost Accounts Branch of this Ministry. A copy of their opinion in the matter is also enclosed (Not Printed). It would be seen that the term 'Gross profit before tax' used in Board's F. No. 6/64/80-CX.1, dated 6-12-1980, was intended to refer to 'profit before tax', which would not include the expenses on account of the interest on loans, depreciation, etc. Only after the provision for payment of taxes made can the profits be considered as net profits. It was to distinguish such profits from the profits, which include the tax alone that the expression 'Goss profit before tax' had been used.