TaxTMI 
TaxTMI 
2015 (5) TMI 374
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.... confirmed in (i) above (Reference to para 12(a) of Show Cause Notice). (iii) I order recovery of interest at appropriate rates in terms of Section 11AB of Central Excise Act, 1944 from ASAL Chakan against the demand of duty determined and confirmed at (i) above (Reference to para 12 (b) of Show Cause Notice). (iv) I appropriate the amount of Rs. 2,76,081/- already paid by ASAL Chakan during investigation towards interest liability (Reference to para 12 (b) of Show Cause Notice). (v) I confirm and demand duty liability amounting to Rs. 2,02,99,124/- (Rupees Two Crores Two Lakhs Ninety Nine Thousand One Hundred and Twenty Four Only) as proposed in the Show Cause Notice No. DGCEI/MZU/I&IS'B'/12(4)65/2009 dated 06.05.2011. in terms of Section 11A(2) of the Central Excise Act, 1944 from ASAL Chakan (Reference to para 12(c) of Show Cause Notice). (vi) I appropriate the amount of Rs. 1,27,53,276/- paid by ASAL Chakan during investigation towards confirmed demand determined in (v) above (Reference to para 12(c) of Show Cause Notice) and the outstanding duty amounting to Rs. 75,45,848/- should be paid forthwith. (vii) I order recovery of interest at appropriate rates....
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....hosari (Reference to para 13(c) of Show Cause Notice). (xvi) I appropriate the amount of Rs. 3,389/- paid by ASAL Bhosari, during investigation towards confirmed demand in (xv) above (Reference to para 13(c) of Show Cause Notice) and the outstanding duty amounting to Rs. 501/- should be paid forthwith. (xvii) I order recovery of interest at appropriate rates in terms of Section 11AB of Central Excise Act, 1944 from ASAL Bhosari (Reference to para 13(d) of Show Cause Notice). (xviii) I appropriate the amount of Rs. 405/- already paid by ASAL Bhosari during investigation towards interest liability determined and confirmed at (xvii) above (Reference to para 13(d) of Show Cause Notice). (xix) I impose penalties of Rs. 37,79,725/- (Rupees Thirty Seven Lakhs Seventy Nine Thousand Seven Hundred and Twenty Five only) and Rs. 3,890/- (Rupees Three Thousand Eight Hundred and Ninety Only) under Section 11 AC of Central Excise Act, 1944 read with Rule 25 of the Central Excise Act, 2002 on ASAL Bhosari (Reference to para 13(e) of Show Cause Notice). (xx) It is however ordered that if the duty and interest is paid within 30 days from the date of receipt of this order, the assessee....
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....esting duty however they contest the imposition of penalties and interest. He submits that in the present case the demand of duty in respect of supply made to two categories of consignment. (A) supply of goods to sister concern where valuation is governed by Rule 8 and (B) to out side automobile industries where duty was demanded on non inclusion of amortization cost of mould, dies etc. He submits that this is not the case of clandestine removal of the goods. There is a case where interpretation of valuation provisions are involved. Short payment of duty is not an account of any malafide intention to evade excise duty. It is only due to the interpretation that what value should be adopted for discharging excise duty in respect of clearances made to their sister concern as well as to other concern. He submits that in all the clearances proper duty paying invoices were issued and excise duty was discharged. He further submits that since the goods involved the automobile components and part which is used by the automobile industry and in the case of supply made to the sister concern, it is used as input for manufacture of other final product and therefore in all the cases consignees a....
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....ntion of the appellant. He further submits that in the show cause notice and in the impugned order proviso to Section 11A was invoked and duty was confirmed for the extended period also. Therefore the ingredients such as suppression of facts, misdeclaration of value etc. very much exist in the present case, therefore there is no question of waiver of penalty and interest on the confirmed demand. As regard Revenue neutrality, he submits that if the theory of Revenue Neutrality argued by the Ld. Counsel is accepted then each and every case where the goods in respect of which any short payment or non payment is involved the duty will not be demanded for the reason that the buyer of the goods in any case entitled for the Cenvat Credit for such duty. He therefore submits that in this particular case there is clear suppression of facts regarding non inclusion of amortization cost in terms of Rule 6 and incorrect valuation under Rule 8 of Central Excise Valuation Rules, 2000. Therefore this case does not fall under the category of Revenue Neutrality. He prayed that impugned order is proper and legal and same be upheld and appeal of the appellant may be dismissed. 4. We have carefully c....
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....rom the buyer against delivery of any excisable goods, no notional interest on such advance shall be added to the value unless the Central Excise Officer has evidence to the effect that the advance received has influenced the fixation of the price of the goods by way of charging a lesser price from or by offering a special discount to the buyer who has made the advance deposit. Illustration 1.- X, an assessee, sells his goods to Y against full advance payment at Rs. 100 per piece. However, X also sells such goods to Z without any advance payment at the same price of Rs. 100 per piece. No notional interest on the advance received by X is includible in the transaction value. Illustration 2.- A, an assessee, manufactures and supplies certain goods as per design and specification furnished by B at a price of Rs. 10 lakhs. A takes 50% of the price as advance against these goods and there is no sale of such goods to any other buyer. There is no evidence available with the Central Excise Officer that the notional interest on such advance has resulted in lowering of the prices. Thus, no notional interest on the advance received shall be added to the transaction value] From the abo....