We are mfg. of industrial gases and we supplied gases to our customers in our and parties cylinders under chapter 2811 2190, now excise department issued to us show cause notice for element of amortisation cost of cylinder not included in the assessable value. They say we are liable for to pay the differential duty on account of the non-inclusion of the element of amortisation of the cost of cylinder. Pl.Gives guideline to us.
21 April 2009
The matter is being taken up in appeal by the revenue though there are a number of cases (BOC) etc where the amortisation has been held not to be required.
Legally speaking dept. may not succeed as the same is a returnable durable packing and what is manufactured is a gas only used fro transportation.
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