TaxTMI 
TaxTMI 
2018 (12) TMI 1033
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....ing Ultramarine Robin Blue in bulk pack from Reckitt Benckiser India Ltd (RBIL); repacking the same into retail packs of different sizes and as this activity of repacking amounts to manufacture, are required to discharge the Central Excise Duty on such repacked goods. Appellants were discharging the Central Excise Duty on such repacked goods but valuation of the said goods was not done in accordance with the provisions of Central Excise valuation Rules is the allegation of the department which stems from the price declarations filed by the appellant. Appellant herein had declared price of Ultramarine Robin Blue in bulk as the basic price and did not include the 15% mark up as required under the provisions of Central Excise valuation Rules. ....
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....les. It is the submission that in view of this, the demands raised are liable to be set aside. On limitation, it is his submission that during the period in question, they were of bonafide belief that the cost of production as per Rule 8 has been only misinterpreted and demands raised by invoking extended period of limitation must be set aside. 5. Learned departmental representative, on the other hand, submits that on valuation issue this Bench has already taken a view against the assessee on to that the value needs to be considered by the principal manufacturer of Ultramarine Robin Blue. It is his further submission that on the question of limitation, the appellant had been filing the declaration by reducing the cost of production subsequ....
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....ant undisputedly is a job worker and includes the cost of job charges but while arriving at the raw material cost has considered only cost of production shown by RBIL in their invoice when they cleared the Ultramarine Robin Blue in bulk. Appellant did not considered the amount of 15% mark up which is added to the cost of production by RBIL, entertaining a view that it is not the cost of production. We are afraid to state that appellant has totally misinterpreted the law settled by the Apex Court in the case of Ujagar Prints. Apex Court in the case of Ujagar Prints had specifically stated that the job workers should consider the cost/ value of raw materials and their job charges for discharging the Central Excise duty, if an assessee is work....