2009 (5) TMI 753

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.... Shri V.V. Hariharan, JCDR, for the Respondent. [Order per : P. Karthikeyan, Member (T)]. - This is an appeal filed by M/s. V.D.S.R. Rolling Mills, Thiruvanamalai (VDSR). VDSR engaged in the manufacture of re-rolled products falling under Chapter Heading 72 of the Central Excise Tariff Act and operated under the compounded levy scheme. In April, 2000, V.D.S.R. made clearances of CTD bars u....

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....ck as on 31-3-2000 they took credit of Rs. 2,35,151/- on 181.175 MTs of MS Ingots in stock and paid duty of Rs. 4,20,886/- at the rate of 16% ad valorem on a total sale price of Rs. 26,30,537/- realised on sale of 175.740 MTs of CTD bars cleared under invoices No. 5 to 20 and 23 raised between 07-4-2000 and 24-4-2000. The assessee learned that the price realised on sale of the CTD bars cleared wit....

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....ale price as the assessable value. It is settled law that when excisable goods are cleared and sold without payment of duty, the price realised has to be treated as inclusive of the excise duty due and the duty liability has to be arrived at on the value so worked out. In the instant case, it is the common case of the parties that the appellants had paid an amount of Rs. 4,20,886/- treating the sa....