9911796707
TMI Blog2018 (11) TMI 1753X X X X Extracts X X X X X X X X Extracts X X X X ..... as been set aside. 2. The fact of the case is that the respondent is manufacturing of aluminium ingots, aluminium billets, aluminium wire rods falling under chapter 76 of Central Excise Act. 3. The respondent clears their final products upon payment of Central Excise duty and also discharges VAT/CST on intra-state as well as inter-state sales made by it. The respondent plant is located at Bhargwan, District Singauli, Madhya Pradesh and falls under the category of backward district 'C'. The respondent was getting refund of 75 % of VAT paid by them under Madhya Pradesh Industrial Promotion Assistant Scheme, 2010 and the cheques of such amount sanctioned under the scheme was issued in favour of cum tax and was treated as advance tax deposit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... [2014 (310) ELT 273(SC)], wherein it was observed that the respondent is entitled to get the deduction of the amount actually paid to the State Government towards the VAT and the amount of refund of VAT directly paid to the respondent by the State Government are not admissible for deduction from the transaction value. The Adjudicating Authority's view that as per Section 4(1) of the Central Excise Act, 1944, the refund amount of VAT is to be treated as cum duty price and, accordingly, duty demand was determined. 4. Accordingly, the Ld. Advocate stated that the observation of Ld. Authority regarding the payment of Central Excise Duty along with interest require to be recovered which has correctly been done in this case. The order of Commiss ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... not includable in the Transaction Value. 8. A similar issue has come up before the Tribunal in the case of Shri Cement Ltd. V/s Commissioner decided by the Tribunal vide Final Order No. 50189-50191/2018 dated 18/01/2018 in which the Tribunal observed as follows:- 7. We have heard both sides at length and perused the appeal record. As out lined above, the appellants are covered by the Investment Promotion Schemes of the Rajasthan Government. In terms of the various schemes of the Rajasthan Government, the appellants are required to discharge their VAT liability by making payment of the same. Out of such VAT credited to the Government, a certain portion is disbursed back to them in the form of subsidies. Such disbursement happens in the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
