2005 (3) TMI 602

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... G. Chacko, Member (J) (Oral)]. The Tamil Nadu State Electricity Board (TNEB), who were registered with Central Excise department for the manufacture of LT phase channel and various other items falling under Chapters 76 78 of the CETA Schedule, fabricated pillar boxes in their workshop and removed the same on payment of duty, for captive consumption. They did not include the margin of profi .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... of profit was liable to be taken into account in the determination of assessable value, ld. C.A submitted that a notional profit of 10% of the cost of production was unreasonable in view of the fact that the Electricity Board was running in loss. He also pointed out that, in a similar case of Andhra Pradesh State Electricity Board, this Tribunal had reduced the notional profit margin to be added .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... We have, therefore, to consider only the valuation issue. The question is whether a notional profit was liable to be added to the assessable value of the goods manufactured by TNEB and cleared for captive use. It is settled law that notional profit requires to be added to the assessable value of such goods under Rule 6(b) of the Central Excise Valuation Rules. What remains to be decided is whether .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X