2023 (6) TMI 61

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....ffice at New Delhi. Commercial invoices were accordingly raised by the appellant and accounted as their sale proceeds. 1.3 The appellant's system of accounting was such, that the moment dispatches are effected, the same are accounted for, in the packing slips generated in the system. Actual quantity cleared would thus be clear from the packing slip analysis maintained by the appellant. 1.4 The appellant vide their letter Ref. No. TP/A/Excise/5715 dated 19.01.2008 had requested for allotment of Provisional Assessment Number in respect of the contract entered with M/s. Bharat Petroleum Corporation Ltd. (BPCL), Kochi Refinery for supply of Boiler Components. The Deputy Commissioner had accordingly allotted PAMS No. 836.37 on 30.01.2008 vide C.No.IV/16/184/2007-PA dated 31.01.2008 to the appellant by accepting the provisional value of Rs. 265/KG as per Rule 7(1) of the Central Excise Rules, 2002. 1.5 Much later, i.e., vide their letter dated 24.01.2011, the appellant requested for finalisation of their provisional assessment PAMS No. 836.37 dated 30.01.2008 / Customer No. 5715 in respect of the above contract. 2.1 Thus the PAMS came to finalised by the Adjudicating Authority vide O....

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....ional assessment. - (1) Where the assessee is unable to determine the value of excisable goods or determine the rate of duty applicable thereto, he may request the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, in writing giving reasons for payment of duty on provisional basis and the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, may order allowing payment of duty on provisional basis at such rate or on such value as may be specified by him. (2) The payment of duty on provisional basis may be allowed, if the assessee executes a bond in the form prescribed by notification by the Board with such surety or security in such amount as the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, deem fit, binding the assessee for payment of difference between the amount of duty as may be finally assessed and the amount of duty provisionally assessed. (3) The Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, shall pass order for final assessment, as soon as may....

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....variation. (iii) In terms of paragraph 3 of the Detailed Letter of Acceptance dated 30.05.2007, the contractor was to submit all the relevant documents to the owner for availing CENVAT Credit, such as proper invoice issued under Rule 11 of the Central Excise Rules. (iv) It was endorsed by the appellant that M/s. BPCL had agreed to the initial rate per kg. of Rs.265/- and the rate per pg. of Rs.337/- was revised subsequently with effect from 19.09.2008. (v) For all the goods supplied to M/s. BPCL [including bought out items (DTS)], the appellant raised commercial invoices at various rates. The total duty charged on the commercial invoices and paid by M/s. BPCL is Rs.2,09,53,605/-. The Final Invoice No. ID-TP-IH-0-F009 dated 21.01.2011 prepared for the purposes of finalization of assessment showed the duty at Rs.2,09,53,605/-. (vi) After verification of documents, the ACCE, Division I, Tiruchirappalli finalized the assessment and arrived at the rate of Rs.285.5502/kg. This rate was adopted for all the clearances to arrive at the correct excise duty payable, short payment of duty and excess payment of duty. (vii) The appellant was entitled to refund and not required to make ....

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.... as per Rule 7(4) of the Central Excise Rules, the appellant is liable to pay interest on any amount payable on the goods, at the prescribed rates from the first day of the month succeeding the month for which such amount is determined, till the date of payment thereof. 10.3 She placed reliance on the judgement in the case of M/s. Bharat Petroleum Corporation Ltd. [2014 (312) E.L.T. 918 (G.O.I.)] and the order of the Bangalore Bench of the CESTAT in the case of Commissioner of Central Excise, Customs and Service Tax, Bangalore-LTU v. M/s. Toyota Kirloskar Auto Parts Pvt. Ltd. [2014-TIOL-1875-CESTAT-BANG]. 11. We have heard the rival contentions and we have gone through the written submissions as also the documents placed on record. 12. On a conjoint reading of Rule 7 of the Central Excise Rules, 2002 along with the Instructions given in Chapter 3 of the C.B.E.C.'s Excise Manual for Supplementary Instructions issued under Rule 31 of the Central Excise Rules, it is clear that finalization of provisional assessment is required to be done on monthly basis. Finalization of provisional assessment means finalization of an issue or ground and thereafter, finalization of each E.R.-1. It ....