TaxTMI 
TaxTMI 
2002 (1) TMI 530
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....material period. (b) One of the clauses, in the contracts/purchase orders, which was common to all the purchase orders/contracts, read as follows :- "(3) Advance Licence : - SAIL, BSP will arrange to transfer Nil duty Advance Import Licence to you for the quantity of Magnesia Carbon bricks ordered on you on 1:1 basis for import of Dead Burnt Sea Water Magnesite required for supply of Mag-Carbon Bricks ordered. In case the Advance Licences are not transferred an amount of Rs. 6,500/- PMT will be paid extra in ex-work price mentioned in the A/T at the current rate of customs duty of 50%. However, in case customs duty is increased/decreased beyond the present rate of 50%, the aforesaid amount of Rs. 6,500/- PMT will be adjusted on pro-rata basis to be paid for supplies to be effected from 1st of the month after two clear months from the month when the customs duty change announced by Government of India comes into effect." (c) After enquiries, it was found that out of the total quantity of the refractory bricks dispatched to SAIL by the appellant, certain quantities were made out of raw materi....
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....r since, as confirmed by the jurisdictional officers even during the course of adjudication proceedings and as brought to the notice of the assessee during the course of Personal Hearing, the assessee did not submit any contract papers/purchase orders/licences etc., along with RT 12 returns to the Range Officer. 9.3 Notwithstanding the inconsistencies, contradictions and illogicality of the aforementioned contentions of the assessee, the fact of the matter is that the referred permission under Rule 173C(11) and the conditions attached thereto by Collector, Central Excise, Bhubaneswar for enabling the assessee to avail the relaxations under the said rule, was no longer operative during the period covered by the show cause notice i.e., from March 1994 to February 1995. The assessee's reliance upon the permission granted more than six years earlier than March 1994 under Rule 173C(11), the conditions attached to the said conditions, are entirely misconceived, misplaced and factually unsubstantiated. While advancing such contentions, the assessee have conveniently, apparently with due deliberation, disregarded the fact that Rule 173C and deletion of Rule 173C(11) with effect fro....
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....ng evidence, documentary or otherwise, to establish that they had diligently complied with the conditions of invoice value procedure allowed to them under Rule 173C(11) in relation to clearances effected after 1st March, 1994 and that they had submitted the relevant contract/purchase orders along with the RT 12 returns or otherwise to the Range Officer, as claimed by them. 9.6 In the circumstances, the conclusion is inescapable that the assessee violated the provisions of Rule 173C, and consequently the other related provisions which obliged them to determine and pay duty correctly, and further that they deliberately suppressed facts and made wilful mis-statements (on invoices etc.) by with-holding material information and documents containing such information from the departmental officers. They felt constrained to disclose such information and documents only after the departmental officers undertook detailed probe to examine and verify the correctness of the value of goods declared by them on clearance and assessment documents. Hence, the assessee's contentions that they had voluntarily disclosed all relevant information and documents even prior to initiating of such prob....
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....ual is to be paid as excise duty when the duty is 100%. If the duty is 150% the assessee has to pay, in case of extra accrual of Rs. 100/- an amount of Rs. 150/- as excise duty. Excise duty is not a confiscatory tax and therefore, whatever accrual is there to the assessee only a part of it, major or minor according to the rate of duty, would have to be paid as excise duty. This would be achieved only if the extra accrual is added to the price and not if it is added to the assessable value." We would also consider that "EXCISE DUTY" to be a cut or a share, only from the 'produces proceeds' and not an additional burden. The same concept has been approved by the Larger Bench in the case of Srichakra Tyres Ltd. - 1999 (108) E.L.T. 361 (T.-LB) = 1999 (32) RLT 1 (CEGAT). We would consider Rule 5 would require the determination of monetary considerations to be addable to the assessable value and do not approve additions of Rs. 6,500/- PMT as arrived at, which are gross additional receipts in this case to be added to assessable value without any supporting findings. The consideration, for the additions by reduction of duty element, is thus required to be redone. While determining as abo....