9911796707
TMI Blog1997 (5) TMI 48X X X X Extracts X X X X X X X X Extracts X X X X ..... e levied was by calculating the duty on the basis of sales made to independent customers and not a special customer like Coal India. Even if ultimately and at a much later date from the date of removal of the goods, the appellant sold the goods to a Government Company or to Coal India Limited, the liability to pay duty at the time of removal of goods from the place of manufacture will not be altered. Rule 9A of the Central Excise Rules lays down that no excisable goods shall be removed from any place of manufacture until the excise duty leviable thereon has been paid. Rule 9A also lays down that the rate of duty shall be the rate in force on the date of actual removal of goods from the factory. There is a special rule for warehousing the go ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t the factory gate on the basis of three different prices :- (i) The price paid by Coal India Limited. (ii) A little higher price paid by public sector companies and Government undertakings. (iii) Goods sold to ordinary customers at a much higher rate. The ad valorem duty is imposed separately on the three types of sales made by the appellant. There is no dispute on these sales. 4.Nearly 50% of the goods manufactured by the appellant are not sold at the factory gate, but are transported to various magazines outside the State of Orissa. From these magazines the goods are ultimately sold to Coal India Limited, Government undertakings and also to other customers. There is also no dispute that bulk of the goods are purchased by Coal I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ises. The "normal price" in this case will have to be found by reference to the price at which the goods are sold to Coal India Limited, which according to the appellant consumes nearly 90% of the goods produced by the appellant. There is no reason to calculate normal price to be anything but the price usually paid by Coal India Limited. It has further been contended that the Act contemplates a provisional assessment and final assessment. The assessee provisionally paid taxes when the goods were removed from factory gate to the godowns and finally paid the tax when the final assessment was made. The procedure followed by the assessee was accepted and acted upon by the excise authority for a number of years. There was no reason to interfere ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... were meant to be sold to Coal India or any other Government undertaking. The duty had to be calculated at the point of time of removal of the goods. At that point of time, the only way the duty could be levied was by calculating the duty on the basis of sales made to independent customers and not a special customer like Coal India. Even if ultimately and at a much later date from the date of removal of the goods, the appellant sold the goods to a Government Company or to Coal India Limited, the liability to pay duty at the time of removal of goods from the place of manufacture will not be altered. Rule 9A of the Central Excise Rules lays down that no excisable goods shall be removed from any place of manufacture until the excise duty levia ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
