2019 (11) TMI 669

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....6/02-CE dt.14.11.2002. As per the said notification, whatever duty has been paid in cash over and above the Cenvat credit available as refund/self credit to the assessee. During the course of audit, the department examined cost data provided by the appellant and based on the audit para, the show cause notices were issued to the appellant alleging short payment of duty on the ground that the assessable value of the goods declared by the appellant was below the cost of manufacture. The Commissioner in the impugned order has held that the buyer is related person of the appellant, therefore, the duty is payable in terms of section 4 (1) (b) of Central Excise Act, 1944 read with Central Excise Valuation Rules, 2000. Against the said order, the a....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....n and provisions of Section 11B are not applicable as per Circular No.682/73/2002-CX., dt.19.12.2002. 7. He further submits that assuming for a moment that the appellant has sold the goods cost below, still the incentives obtained from the department has not been taken into account by the Commissioner. As the incentive has been available to the appellant during the period as cash refund/self-credit as the appellant is located in the State of Jammu & Kashmir and if the same is taken into account then the appellant has earned the profit on the goods sold by them. Therefore, it cannot be held that the appellant has sold the goods below the cost price. He further submits that the appellant has been granted refund/self-credit of duty paid in ca....