https://www.taxtmi.com/caselaws?id=771481 CESTAT Chandigarh allowed the appeal challenging demand duty under Rule 8 of Central Excise Valuation Rules. The appellant manufactured goods partly for captive consumption and partly transferred to sister unit. CESTAT held Rule 8 was incorrectly invoked for period before 22-11-2013 as it applies only when entire production is for captive consumption with no outside clearances. For post-amendment period, revenue's valuation method using 110% of transfer price instead of CAS-4 based cost of production was unscientific and extra-legal. Department failed to obtain valid CAS-4 through cost accountant audit. Demand and penalties were set aside with consequential relief. en-us Mon, 19 May 2025 00:00:00 +0530 Tue, 27 May 2025 08:32:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=771481 CESTAT Chandigarh allowed the appeal challenging demand duty under Rule 8 of Central Excise Valuation Rules. The appellant manufactured goods partly for captive consumption and partly transferred to sister unit. CESTAT held Rule 8 was incorrectly invoked for period before 22-11-2013 as it applies only when entire production is for captive consumption with no outside clearances. For post-amendment period, revenue's valuation method using 110% of transfer price instead of CAS-4 based cost of production was unscientific and extra-legal. Department failed to obtain valid CAS-4 through cost accountant audit. Demand and penalties were set aside with consequential relief. Case-Laws Central Excise Mon, 19 May 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=771481