2015 (2) TMI 654

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....e case where the gases are sold by the respondent in their own cylinders, the respondent charged an amount towards cylinder rental in addition to the value of the goods. In the cases where the gases are sold in the cylinders belonging to the customers, wherever the customers request for testing and repair of the cylinder, it is done by the respondent and for which they charge some amounts which are in addition to the price for the gas supplied. The Department is of the view that the cylinder rental charges in the cases where the gases are supplied in the appellant s own cylinders and the cylinder repair and servicing/testing charges in the cases where the gases are supplied in the cylinders brought by the customers would be includible in th....

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....s. State of Kerala reported in 2001 (129) E.L.T. 11 (S.C.), the Supreme Court s order dismissing the civil appeal in the case of Kota Oxygen (P) Ltd. vs. CCE, Jaipur (supra) would become a binding precedent. He, therefore, pleaded that the impugned order is not correct. 4. Shri B.L. Narasimhan, Advocate, the learned Counsel for the respondent, pleaded that the fact that the gases manufactured by the respondent are being sold by them either in their own cylinders or in the cylinders brought by the customers shows that the gases manufactured are as marketable as such without being packed in any containers, that taking this fact into account, the Tribunal in the case of CCE, Indore vs. Grasim Industries Ltd. reported in 2014 (304) E.L.T. 31....

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.... is no infirmity in the impugned order. 5. We have considered the submissions from both the sides and perused the records. 6. The undisputed facts are that the respondent manufacture Medical grade oxygen gas and liquid nitrogen and sell the gases either in their own cylinders in which case they charge in addition to the value of the goods, cylinder rental charges or in the cylinders brought by the customers, in which case, on the request of the customers, wherever the cylinders are tested or repaired, the cylinder testing/repair charges are charged in addition to the value of the goods. The point of dispute is as to whether in these circumstances, the cylinder rental charges and cylinder repair/ testing charges would be includible in ....