TaxTMI 
TaxTMI 
2022 (12) TMI 451
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....epresentative for the Respondent ORDER These appeals were restored for hearing vide Miscellaneous Order No. 50245-50254/2022 dated 19/05/2022. 2. The issue involved in these appeals was whether the appellant is entitled to 'Area based exemption' under exemption Notification No. 49/2003-CE dated 10.06.2003 r/w subsequent Notification No. 50/2003-CE (as amended). In the miscellaneous order dated 19/05/2022, this Tribunal recorded the submission of the appellant, that the main issue of exemption has been decided against the appellant by Hon'ble Supreme Court in similar matter for the other period. Learned Counsel for the appellant urges the other connected issues as follows: 3. It is urged that the appellant was under bona fide belief that....
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....parately by the manufacturer-seller, the price charged shall be treated as cum-duty, excluding sales tax and other taxes, if any, actually paid. 5. In support of this contention, the learned Counsel also relies on the ruling of this Tribunal in Hi-Line Pens Ltd. Vs. CCE & S.T. Delhi 2017-5-GSTL-423 reliance is particularly placed on para 8 of the judgment which reads as follows: "8. Revenue has contended that the element of excise duty is not a permissible deduction since in cases where the exemption from duty is claimed, no duty becomes payable. Such a stand by the Revenue does not appear to be in line of the concept of transaction value enshrined in Section 4 with effect from 1-7-2000 as amplified by the explanation inserted with effec....
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....2 (S.C.) (c) Srichakra Tyers Ltd. Vs CCE Madras 1999 (108) E.L.T. 361 (Tri. LB) 6. The learned Counsel further urges that since the appellant has used duty paid inputs in manufacture of final products, therefore the duty payable needs to be re-quantified after allowing and/or adjusting the Cenvat credit of inputs. Under the scheme of the Central Excise Act, r/w the Cenvat Credit Rules, a manufacturer is entitled to Cenvat credit on the inputs and capital goods as well as input service under Rule 3 of CCR r/w Rule 2(a),(k) & (l). Learned Counsel relies on the ruling of the Hon'ble Supreme Court in the case of: (a) CCE Jaipur Vs Mahavir Aluminium Ltd 2007 (212) E.L.T. 3 (S.C.) (b) Siddhartha Tubes Ltd. Vs CCE Indore (M.P.) 2006 (193) E....
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....preme Court in Bata Shoe Company Pvt Ltd 1985-21-ELT-9. He further urges that the ruling of Hon'ble Supreme Court in Maruti Udyog supra and Shrichakra Tyers Ltd supra have been distinguished in Amrit Agro Indutries Ltd vs. CCE-2007-210-ELT- 83 (S.C.). Learned AR further urges that the appellant has mentioned in their invoice- "Excise duty charged nil", thus the sale price realized does not include the element of duty of excise and as such sale price cannot be considered as cum-duty price. As regards penalty, the learned AR relies on the findings of the court below in the impugned order. 11. Having considered the rival contentions, we hold that the appellant is entitled to the benefit of recalculation of demand on cum-duty basis in accordan....