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TMI Blog2024 (2) TMI 251X X X X Extracts X X X X X X X X Extracts X X X X ..... e inclusion of value of packaging material freely supplied by the customer in the value of the appellant's final product under Section 4 of the Central Excise Act, 1994. The Learned Commissioner (Appeals) further upheld the demand of CENVAT Credit under rule 3(5A) of Cenvat Credit Rules 2004 on scrap of capital goods. Consequently, the Learned Commissioner (Appeals) upheld the finding of the Adjudicating Authority and dismissed the appeal preferred by the appellant. Therefore, the present appeals. 1.2 The following two issues are involved in the present appeals:- (I) Whether the value of Corrugated Boxes received free of cost by Appellant from buyers for packaging glassware will be included in the calculation of Assessable Value under S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ey also the decisions passed by this Hon'ble Tribunal on the same issue under identical facts and circumstances. 2.3 In support of his above submission Shri Dixit relied upon the following judgments : 3.1 Shri. Sanjay Kumar, Learned Superintendent (AR) appearing on behalf of the Revenue reiterated the finding of the impugned order. 4.1 We have carefully considered the submissions made by both the sides and perused the records. We find that the main issue to be decided in the present case is whether the cost of corrugated boxes supplied by the buyer is includible in the computation of Assessable Value of the appellant's final product as per section 4 of the Central Excise Act 1944. The lower authorities have reiterated that the Assessed V ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... [4. Valuation of excisable goods for purpose of charging of duty of excise.- (1) Where under this Act, the duty of excise is chargeable on any excisable goods with reference to their value, then, on each removal of the goods, such value shall- (a) in a case where the goods are sold by the assessee, for delivery at the time and place of the removal, the assessee and the buyer of goods are not related and the price is sole consideration for the sale, be the transaction value; (b) in any other case, including the case where the goods are not sold, be the value determined in such manner as may be prescribed. 2[Explanation - For the removal of doubts, it is hereby declared that the price - cum - duty of the excisable goods sold by the asse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Old Section 4 i.e. before amendment of 2000 shall equally apply in the cases related to the period after amendment of 2000. 13. On going through the facts of the said judgmen we find that the assessee are charging to their customers certain amounts under different heads namely packing charges, facility charges, service charges, delivery charges and collection charges, rental charges , repaid and testing charges. The facts of the present case is different as the appellant is not charging separately. The issue involved in the present case is that the cost of corrugated boxes are used for packing of the final products is includable as clearly provided under Rule 6 of Central Excise Valuation Rules, 2000. Therefore the facts of the present ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... scrap. In the absence of any such investigation and the Department unable to adduce any evidence the allegation made in the Show cause notice is bad. In this position the submission of the appellant must be taken correct as there is no material produced by the revenue that states otherwise. Therefore, it is clear that the Appellant have cleared the scrap which is neither generated from cenvatable capital goods or cenvatable input nor from manufacturing. Therefore, the same is clearly not liable for any duty. 4.5 The identical issue was raised in the appellant's own case only for a different period wherein this tribunal has taken a consistent view that such scrap other than manufacturing and non-cenvatable is not liable to duty. 5. In view ..... X X X X Extracts X X X X X X X X Extracts X X X X
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