14 April 2016

The Supreme Court has held that cost relating to bullet proofing of jeeps, undertaken outside the factory by job-workers after clearance of the not-yet bullet-proofed jeeps, is not to be included in the value of jeeps for the purpose of levy of Central Excise duty.

Affirming the Order of the CESTAT, the Apex Court in its order in the ...

1 January, 2016

The Supreme Court of India has dismissed the Special Leave Petition filed by the Revenue department against the order of the Bombay High Court in a case involving liability to pay interest when the duty was paid before finalization of provisional assessment. The Apex Court in its Order dated 14-12-2015, found absence of any merit in the petition filed by the Reven...

1 January, 2016

Pre-delivery inspection charges (PDI) and free after sales service charges, which are not charged by the manufacturers of vehicles from the dealers, are not to be included in the transaction value of the vehicles, on which the manufacturer has to pay Central Excise duty.
 
The Supreme Court has by its Judgement dated 15-12-2015, hence overruled ...

17 November, 2015
 
Central Board of Excise and Customs (CBEC) has notified new All Industry Rates (AIR) of Duty Drawback which are effective from 23-11-2015, i.e. will be applicable on exports made from 23^rd of November 2015. Further, Customs, Central Excise and Service Tax Drawback Rules, 1995 have been amended by Notification dated 16-11-2015 to...

24 July, 2015
 
The Bombay High Court has held that demand beyond 5 years cannot be confirmed by invoking bond in case of EOUs. It was observed that even if fraud is of great magnitude and there is admission of involvement, it does not mean that recovery of duty, because of such fraud, can be made at any time under Section 11A of the Central Excise Act, 1944. The High Court b...

16 July, 2015
 
Rajasthan High Court has agreed with the earlier Order of the court (Paramount Security v. UoI – W.P. No. 12232) which had held that effect of the amendment to Section 35F of the Central Excise Act, 1944 in 2014 cannot be restricted only for appeals filed after 6-8-2014.
 
According to the earlier order such restricti...

3 July, 2015

Three Judges Bench of the Supreme Court has, on 1-7-2015, held that Rules of Interpretation of the Central Excise Tariff may not be applicable if the notification (exemption notification) commands and require a different understanding. Holding that rules or principles of interpretation are always subject to context and are not binding commands, the Court rejected the...

15 June, 2015

Notification Nos. 22/2003-C.E. and 23/2003-C.E. have been amended by Notification No. 28/2015-C.E., dated 15-5-2015 to reflect the new Foreign Trade Policy 2015-20 notified by the Ministry of Commerce on 1st of April. Some of the important changes are,

• EOUs have been allowed to return, without payment of duty, capital goods tra...
  Dated: Jun 15, 2015

22 May, 2015

Supreme Court of India has recently delivered three important judgments relating to the question as to whether the process followed by the assessee amounts to ‘manufacture’ for the purpose of imposition of Central Excise duty, which is levied in India on manufactured goods.

No ‘manufacture’ in sterilization of syring...