9911796707
TMI Blog2024 (12) TMI 6X X X X Extracts X X X X X X X X Extracts X X X X ..... the Revenue is also disposed of. 2. The facts of the case are that the appellants are engaged in the manufacture of Soaps falling under chapter tariff heading 3401 19 19 which is chargeable to central excise duty. The appellant availed cenvat credit of duty/tax paid on inputs/input services used in or in relation to manufacture of their final product. The appellant procured Soap Noodles manufactured by their sister units located at Garden Reach (West Bengal), Orai (UP), Khamgaon (Maharashtra), Sewree (Mumbai) and Rajpura (Punjab) on transfer basis to the appellant on payment of duty. The sender units considered 115% or 110% of cost of production as transaction value for such stock transfer, in terms of Rule 8 of Valuation Rules, 2000 read ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sed. Aggrieved from the said orders, the appellants are in appeal before the Tribunal. Revenue has also filed Cross Objection. 3. The Ld.Counsel for the appellants submits that the sender unit has considered the assessable value as per Rule 11 read with Rule 8 of Valuation Rules i.e. 115% of the cost of production for the period from 01.07.2000 to 08.02.2003 and thereafter 110% and credit of whatever duty paid by sender units was taken by the appellants. He further submitted that stock transfer of Soap Noodles by sender units to the appellants, for use in the manufacture of Soaps, has to be considered at par with captive consumption and, hence, cost of production was to be arrived at based on CAS-4 guidelines, as clarified by CBEC, vide Ci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at the entire exercise would lead to revenue neutral situation, as whatever duty paid by the sender-units was admissible as credit to the appellants hence, the demand is not sustainable based on the following judgements : i) Jamshedpur Beverages - 2007 (214) ELT 321 (SC) ii) Narmada Chematur Pharmaceuticals - 2005 (179) ELT 276 (SC) iii) Coca-Cola India Pvt.Ltd. - 2007 (213) ELT 490 (SC) iv) Super Forgings & Steels Ltd. - 2007 (212) ELT A-151 (SC) 6. Therefore, he prayed that the impugned orders be set aside and the appeals be allowed. 7. The Ld.AR for the department supported the impugned order. 8. Heard the parties, considered the submissions. 9. We find that in this case the short issue involved in the matter is that "whether ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... been examined by the Hon'ble Punjab & Haryana High Court in the case of V.G. Steel Industry vs. Commissioner of Central Excise [2011 (271) E.L.T. 508 (P & H)], wherein the Hon'ble High Court has observed as under:- "5. Learned counsel for the appellant submits that even if the duty has been paid in excess of the amount finally held to be payable, unless the excess duty paid has been refunded, the assessee could claim cenvat credit as the department could not get the duty twice. Reliance has been placed on order of this Court dated 22-7-2010 in CEA No.42 of 2010 Commissioner Central Excise, Chandigarh v. M/s. Guwahati Carbons Ltd. wherein after referring to earlier judgments of this Court in CCE v. Ranbaxy Labs Ltd., 2006 (203) E.L.T. 213 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd. The Central Excise authorities having jurisdiction over the manufacturer cannot dispute the duty liability of the inputs supplier and cannot restrict the credit on the ground that inputs manufacturer should have paid lesser amount of duty. The Commissioner (Appeals) has relied upon the earlier decision of the Tribunal in the case of Siddarth Petro Products v. Commissioner of Central Excise reported in 2001 (128) E.L.T. 400 (Tri.). I do not find any infirmity in the view taken by the Commissioner (Appeals). Accordingly, I reject the appeals filed by the revenue." 3. When the duty was paid by the supplier at the rate of 24% and added in the cost, which has been paid by the assessee, we see no infirmity in the order of the Tribunal allow ..... X X X X Extracts X X X X X X X X Extracts X X X X
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