https://www.taxtmi.com/caselaws?id=449148 In valuation of DTA clearances by a 100% EOU through a related buyer, the prescribed Customs Valuation Rules must be applied sequentially and the department cannot bypass that scheme by resorting to Rule 7. On the facts discussed, the direct use of Rule 7 was inconsistent with the statutory valuation framework under the Central Excise and Customs provisions. The text also states that the extended limitation period requires positive material showing suppression of facts with intent to evade duty; prior departmental knowledge through audit objection and reply negated such suppression. The demand, interest and penalties were therefore treated as unsustainable. en-us Mon, 05 Feb 2024 00:00:00 +0530 Wed, 07 Feb 2024 05:51:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=449148 In valuation of DTA clearances by a 100% EOU through a related buyer, the prescribed Customs Valuation Rules must be applied sequentially and the department cannot bypass that scheme by resorting to Rule 7. On the facts discussed, the direct use of Rule 7 was inconsistent with the statutory valuation framework under the Central Excise and Customs provisions. The text also states that the extended limitation period requires positive material showing suppression of facts with intent to evade duty; prior departmental knowledge through audit objection and reply negated such suppression. The demand, interest and penalties were therefore treated as unsustainable. Case-Laws Central Excise Mon, 05 Feb 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=449148