9911796707
TMI Blog2009 (10) TMI 488X X X X Extracts X X X X X X X X Extracts X X X X ..... ntroduced. Impugned charges cannot form part of normal price goods normally sold without any packing, however for part of transaction value post 30.6.2000. Further held that- collection of packing charges suppressed from department and not reflected in monthly return. Demand invoking larger period pertaining to such charges sustainable. - E/212/2006 - 1541/2009 - Dated:- 26-10-2009 - S/Shri M.V. Ravindran, Member (J) and P. Karthikeyan, Member (T) Shri Varadarajan, Advocate, for the Appellant. Shri V. Raja Ram, JDR, for the Respondent. [Order per : P. Karthikeyan, Member (T)]. - M/s. Palayam Textiles Processors hereafter, also PTP, undertook processing of grey fabrics such as dyeing, washing, bleaching, etc. They paid du ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rocessed fabrics and not that of pre-shrunk fabrics. This method of computation of value was consistent with the decision of the Tribunal in the case of Gemini Dyeing and Printing Mills v. Commissioner, reported in 1997 (91) E.L.T. 195 (Tri.). A different Bench of the Tribunal had held to the contrary and that view was upheld by the Larger Bench of the Tribunal in the case of Ram Kumar Mills Pvt. Ltd. v. Commissioner of Central Excise, Bangalore [2005 (183) E.L.T. 356 (Tri. -LB)]. Therefore larger period could not have been validly invoked to demand differential duty from them. They cited several case laws in support of the claim that when the short-payment had occurred due to assessee's bonafide belief , longer period under Section 11A of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he liability of the assessee for the normal period. Assessee shall be entitled to the deemed credit as was available to the duty initially paid. As regards packing charges recovered in certain cases prior to 1-7-2000, when transaction value was introduced, we find that the same cannot form part of the normal price as goods had been normally sold without any packing. However packing charges form part of transaction value post 3-6-2000. Collection of these charges was suppressed from the Department; these amounts were not reflected in the monthly returns furnished to the Department. We therefore sustain demand pertaining to these charges invoking the larger period. As regards the deemed credit, the adjudicating authority shall examine the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X
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