TaxTMI 
TaxTMI 
2018 (2) TMI 359
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....appellant also receives certain raw-materials such as copper scrap for conversion of the same into ingots on job-work basis. The job-worked goods are returned to the supplier of the raw-materials after payment of duty. The dispute in the present case is with reference to the valuation of such job-worked goods. The appellant pays the excise duty on such goods after determining the valuation of such goods as per the guidelines laid down by the Hon'ble Supreme Court in the case of Ujagar Prints Vs. Union of India reported in 1989 (39) E.L.T. 493 (SC). During the course of audit of the records of the appellants for the period 9/2003 to 7/2004, the Department noticed that the appellant did not include the process loss/burning loss of the raw-mat....
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.... subjected to audit periodically and the earlier audit parties, after scrutiny of the appellant s record, have not pointed out any valuation issues. Accordingly he submitted that the impugned order merits to be set aside. 4. The learned AR, on the other hand, justified the impugned order. He submitted that during the course of audit, the Departmental Officers have examined the records of the assessee, and after discussion with the company s representative, have come to the conclusion that for the purpose of determining the cost of the goods manufactured on job-work, only the cost of the raw-materials finally contained in the finished products have been taken into consideration. This evidently indicates that the cost of the entire raw-mater....
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....escaped. 7. Turning to the issue of time-bar demand, we note that the appellant s unit has been audited from time to time. The learned counsel for the appellant has brought to our notice that the unit has been audited in 2000-01, 2001-02, 2002-03, 2003-04, 2004-05 and the current audit of 2004-05. 7.1. Further in the case of Trans Engineers India Pvt. Ltd. Vs. CCE, Pune - 2015 (40) S.T.R. 490 (Tri.-Mum.), the Tribunal observed as under: "10. In our view the entire demand is to be set aside on the ground on limitation only. Revenue authority cannot invoke the extended period of limitation, when the records of the assessee were audited by the officers once but did not find any short-payment from records. The 2nd audit party, doing the aud....
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....ioned herein above, the sad fact is conclusive insofar as the knowledge of the petitioners activities to the respondents is concerned. Therefore, in our view, in the light of the audit carried out by the respondents off the petitioners factory and the correspondence that is addressed by the petitioners to the respondents, it cannot be said that the petitioners have mis-stated the facts or there is a fraud practiced by the petitioners." 11. The abovesaid views are also relied on by the Hon'ble High Court of Karnataka in the case of MTR Foods Ltd. (supra). We reproduce the relevant paragraph :- "4. As is clear from the material on record, the returns were filed promptly. In the returns it is clearly mentioned that they availed credit und....