LI Network
Published on: January 21, 2024 at 11:00 IST
In a recent ruling, the Jharkhand High Court has affirmed that the determination of the value of excisable goods for assessment purposes falls exclusively within the jurisdiction of the Supreme Court of India under Section 35L of the Central Excise Act, 1944.
Justices Rongon Mukhopadhyay and Deepak Roshan, comprising the bench, emphasized that appeals in such matters are not maintainable in the High Court, as its jurisdiction is specifically excluded under Section 35G. Instead, these appeals should be directed to the Apex Court under Section 35L.
The case originated from an appeal filed by the department against a tribunal order under Section 35C of the Central Excise Act, 1944. The appeal involved various issues, including the determination of the valuation of excisable goods and the rate of duty.
The assessee argued that the appeal should be brought before the Supreme Court under Section 35L, given the exclusivity of the Apex Court’s jurisdiction as per Section 35G.
Contrary to the department’s claims that the objections raised by the assessee were premature and irrelevant, the court clarified that the term “for the purpose of assessment” refers to orders passed during the assessment process.
It further underscored that all orders made during assessment, addressing questions related to the rate of duty or valuation of goods or services, cannot be subject to appeal before the High Court.
This ruling establishes a clear precedent, reinforcing the exclusive jurisdiction of the Supreme Court in matters concerning the determination of the value of excisable goods for assessment under the Central Excise Act, 1944.
