JCT LIMITED Vs. CCE

JUDGEMENT

(1.) THE issue involved in these three appeals by the assessee and one appeal of the revenue (E -3108/06) is the same. Accordingly, all the appeals were heard together and are disposed of by this common order.

(2.) THE factual context in which the present dispute about valuation has arisen may be noted first. Appellant assessee is a manufacturer of textile yarns (polyester etc.). The yarns in question are liable to Central Excise Duty on advalorem basis. The assessee sells part of the produce on ex -factory basis; but bulk of the goods are transferred to its own sales depots, from where they are disposed of. The assessee had filed declarations from time to time relating to their sale pattern, sale prices, discounts given etc. and net prices on which Central Excise Duty is discharged.

(3.) DISPUTE arose about the correctness of the assessable value adopted by the assessee and the following three show cause notices were issued by Central Excise Authorities alleging that there was short levy of duty on account of under valuation of the goods.