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TMI Blog2023 (3) TMI 832X X X X Extracts X X X X X X X X Extracts X X X X ..... ance and upgradation of plant and machinery of its refinery, the MS and HSD usually stored in storage tanks and within the refinery premises. Since the storage tanks did not have the capacity to store finished goods required for supply in domestic market therefore, such MS and HSD was required to store outside the refinery premises for which the appellant have obtained permission from the Commissioner to store HSD and MS outside the refinery premises on fulfillment of certain conditions. One of the conditions inter alia in Para 2(v) thereof was that no remission of duty shall be permitted against loss of HSD and MS during handing, transit, storage or in the case of accident or natural calamity or whatsoever. The appellant stored HSD of 7706 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppellant have filed an appeal before the Commissioner (Appeals) who supporting the order of the original authority upheld the same and dismissed the appeal of the appellant therefore, the appellant filed the present appeal. 02. Ms. Dimple Gohil, learned counsel appearing on behalf of the appellant submits that there is no actual physical difference in the quantity of loading and unloading, the difference is only due to contraction which is due to temperature difference which is normal phenomenon of the petroleum product which gets support from the Board Circular No. 367/83/97 dated 19.12.1997. She also invited the reference to Board Circular No. 778/11/2004-CX dated 11.03.2004. She submits that there is no violation of para 2(v) of the Com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ich is admitted position that the HSD gets contracted due to low temperature, this has been endorsed by the board in the following circulars:- * Circular No.778/11/2004-CX dated 11.03.2004 * Circular No. 367/83/97-CX dated 19.12.1997 From the reading of the above circular, though it is not directly on the fact in the present case but it establishes that due to temperature variation, the petroleum product gets contracted and due to which there is variation in the quantity of the same quantum of the goods between one temperature and other temperature therefore, the fact that the petroleum product gets contracted is not under dispute. In the present case, it is admitted fact the weight of the product remains unchanged or very minor differ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd intact therefore, in fact there is no loss of the goods, para 2(v) shall apply only in a case where there is actual loss in the quantity. In the present case, the quantity remains the same, the variation in KL is only due to density of the goods that due to different temperature at the time of loading and unloading therefore, it cannot be said that there is any loss of quantity of the goods consequently, there is no violation of para 2(v) of the Commissioner's letter dated 03.10.2018. 4.1 As regard remission of duty that will come into picture only when there is actual loss and appellant seeks remission of duty. In the present case since there is no loss at all, there is no question of seeking remission therefore, the process of remissi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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