9911796707
TMI Blog2006 (11) TMI 525X X X X Extracts X X X X X X X X Extracts X X X X ..... t is a public sector undertaking engaged in the business of refining of crude petroleum and marketing various finished petroleum products. (b) Non-duty paid petroleum products are stored in storage tanks which are treated as bonded warehouses. The appellant clears the bonded petroleum products raising Central Excise invoices as required under Rule 52A of the Central Excise Rules, 1944, showing details such as description of the products, rate per kilo liter, value, rate of duty, duty debit entry number, etc. (c) The appellant recovers from buyers the invoiced value and the duty mentioned for the invoiced quantity. (d) The assessee periodically undertakes dip reading and prepares what is known as out-turn reports. (e) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... atutory status of out turns, they could be construed as proper document as explained above but the same has to be correlated with the actual clearances as reflected in the invoice. The difference between the quantity as mentioned in the said out turn and those reflected in the invoices could be reconciled by the appellants themselves at the end of the month and the same should be reflected in the monthly RT-12 returns. This needs to be verified in so far as may relates to the present dispute by the adjudicating authority in denovo proceedings after a grant of fresh personal hearing. It should also be noted that the condonation upto .5% for losses which includes both handling loss and storage loss should be allowed as per CBEC guidelines men ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed that there is no reason to interfere with the order of the Commissioner (Appeals). He also relied on the orders of the Tribunal in their own case relating to their Hyderabad unit of Hindustan Petroleum Corporation Limited v. CCE, Hyderabad - 2002 (149) E.L.T. 1294 (Tri.-Chennai) wherein it has been held that duty has been held to be payable based on out turn basis and the department s appeal against the said order has been dismissed. 7. The issue to be decided is whether the invoice should be treated as the relevant documents and duty should be demanded on the invoiced quantity and on the invoiced value or on the basis of periodical out turn reports which may for certain period have excess quantity and for certain period lower quantity ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... based assessment is in vogue as of now the invoice becomes the basis for arriving at the transaction value (subject to such adjustments by way of additions or deletions from the invoiced value). In other words the invoice which is a customer specific and consignment specific and which is a statutory document has direct relevance in matters relating to determining the quantum of duty payable by the manufacturer of the product and the quantum of credit eligible to a person who avails Cenvat. 9. Therefore we feel the decision of the Commissioner (Appeals) to treat the Out Turn report as the basis for demanding duty is not legally sustainable especially in the light of changes in law from 1-4-1994. The Commissioner (Appeals) has erred in appr ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
