Jurisprudentiol - Recent SC Judgements
Central Excise Valuation - Sales Tax incentive not includible in assessable value till 1.7.2000 and includible after that.
The respondent assessee had availed sales tax benefits in the sense that the sales tax was paid at concessional rates under the sales tax incentive scheme which was floated by the State of Rajasthan. The question arose as to whether the benefit of sales tax which was availed by the respondent would be included while fixing the value of the product for the purpose of payment of excise duty. This issue squarely stands covered by the judgment of this Court in Commissioner of Central Excise, Jaipur-II vs SuperSynotexIndia Limited - 2014-TIOL-19-SC-CX. In that case the Court has taken the view that assessee would be entitled to claim deductions towards sales tax from the assessable value of the sales tax which is retained by the assessee. The Court also pointed out that this position had changed after the amendment in Section 4w.e.f. 1.7.2000 and in arriving 'transaction value' said sales tax benefit which was retained by the assessee, would be included while fixing the 'transaction value'.
Please see Commissioner of Central Excise, Jaipur Vs National Engg Industries -
Central Excise - Appeals - Appeal to High Court or Supreme Court. Appeal filed in Supreme Court instead of High Court. Revenue allowed to file appeal in High Court within one month.
Quite often we find the Department knocking at the wrong doors. They are not very clear as to whether an appeal against the CESTAT order is to be filed in the High Court or the Supreme Court. In this case, there was neither valuation or classification issue, but still the Commissioner filed the appeal in the Supreme Court in the year 2005, where it was pending for the last ten years. The Supreme Court has permitted the Department to file the appeal in the High Court within a month.
But why this dual appellate jurisdiction? Why can't all cases be made appealable to the High Court only? Perhaps they can make the orders of the Larger Bench appealable to Supreme Court and all other cases to the High Court.
Please see Commissioner of Central Excise Vs Raj Petroleum Products -
Customs - Classification - Populated Printed Circuit Boards (PPCBs) - assessee classified under Chapter Heading No.8517.90. CESTAT confirmed this after appreciating the factual matrix. No question of law arises in this mater.
In this case the tax effect is only Rs.7,66,755/-. The respondent had imported module in the form of Populated Printed Circuit Boards (PPCBs) and classified the same under Chapter Heading No.8517.90. The Commissioner accepted the aforesaid classification. The respondent had paid duty of Rs.22,28,788/- in view of the aforesaid classification and the amount of Rs.7,66,755/- became refundable and that refund was sanctioned. The Department was not satisfied and took the case all the way to the Supreme Court - and failed at every stage.
The Supreme Court observed that the CESTAT order was after appreciating the factual matrix and no question of law arises in this matter.
Please see Commissioner of Customs, Bangalore Vs Modicom Network Pvt. Ltd -
Until Tomorrow with more DDT
Have a nice day.
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