https://www.taxtmi.com/caselaws?id=54313 Under the compounded levy scheme, duty cannot be demanded on furnaces that were permanently closed where the assessee had informed the authorities and sought redetermination of capacity in accordance with the rules. The record showing non-production, together with the request to dismantle the closed furnaces, supported reduced production capacity, and the demand was not sustainable merely because permission to dismantle had not yet been granted. Authorities dealing with temporary closure or alternative working arrangements were distinguished. The demand, penalty, and interest based on the closed furnaces were set aside. en-us Mon, 07 Mar 2005 00:00:00 +0530 Tue, 19 Oct 2010 13:21:59 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=54313 Under the compounded levy scheme, duty cannot be demanded on furnaces that were permanently closed where the assessee had informed the authorities and sought redetermination of capacity in accordance with the rules. The record showing non-production, together with the request to dismantle the closed furnaces, supported reduced production capacity, and the demand was not sustainable merely because permission to dismantle had not yet been granted. Authorities dealing with temporary closure or alternative working arrangements were distinguished. The demand, penalty, and interest based on the closed furnaces were set aside. Case-Laws Central Excise Mon, 07 Mar 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=54313