This Paper has 32 answerable questions with 0 answered.
| Roll No……… | |
| Total No. of Questions — 6] | [Total No. of Printed Pages — 4 |
| Time Allowed : 3 Hours | Maximum Marks : 100 |
| Answer all Questions. |
| PART — A |
| Marks |
| 1. | (a) | Briefly explain the following with reference to the provisions of the Central Excise Act, 1944: | 2x2=4 | |||
| (i) | Adjudicating authority | (0) | ||||
| (ii) | Excisable goods | (0) | ||||
| (b) | Mention the last date of filing the following returns under the Central Excise Rules, 2002: | 1x2=2 | ||||
| (i) | ER–4 for the financial year 2009–10 | (0) | ||||
| (ii) | ER–7 for the financial year 2009–10 | (0) | ||||
| (c) | Distinguish between compounded levy scheme and duty based on annual production capacity under central excise. | 4 | (0) | |||
| (d) | WM Ltd. is manufacturing a product which is captively consumed to produce a final product, which is exempt from the payment of excise duty. The intermediary product is having a distinct market of its own. The company is of the view that since the final product is exempt, no duty liability arises on intermediary product also. The department objected the view of the assessee. Discuss, with reference to a decided case law, if any, whether the view of company is justifiable? | 5 | (0) | |||
| (e) | An assessee sold certain goods to PQR Company Limited for Rs.20,000 on 09.09.2009. The buyer is a related person as defined under section 4(3)(b) of the Central Excise Act, 1944. The buyer did not sell the goods but used it as intermediary product. The cost of production of the goods was Rs.16,000. What should be the assessable value? What should be the assessable value, if the goods were sold to unrelated person for Rs.20,000, who also used it as intermediary product? You may assume that the price charged from the buyer is excluding excise duty and other taxes. | 5 | (0) | |||
| 2. | (a) | M/s. XYZ Ltd. shifted its factory from Sitapura to Rampur and transferred all the available inputs and capital goods to the new site. The inputs, capital goods and the balance of unutilised CENVAT credit were duly received and accounted for in the registers of the new unit. The said balance of unutilised CENVAT credit transferred was Rs.8,00,000. However, the quantum of CENVAT credit attributable to the inputs and capital goods so transferred to the new site was Rs.6,00,000 only. The Department raised the plea that the assessee was entitled to transfer only Rs.6,00,000 of CENVAT credit and not the entire balance of unutilized credit of Rs.8,00,000. Explain, with the help of a decided case law, if any, whether Department’s plea is justified in law? | 4 | (0) | ||
| (b) | What are the circumstances under which the certificate of registration can be revoked or suspended under Central Excise? | 3 | (0) | |||
| (c) | To whom should the matter be referred in a case where the Committee of Chief Commissioners of Central Excise differs in its opinion as to the legality or propriety of the decision or order of the Commissioner of Central Excise and how will the matter be settled under section 35E(1) of the Central Excise Act, 1944 ? | 3 | (0) | |||
| (d) | Discuss in brief the powers of Settlement Commission to grant immunity from prosecution. | 3 | (0) | |||
| (e) | What is the difference between short levy and short payment? | 2 | (0) | |||
| 3. | (a) | M/s. Silver Enterprises is manufacturing packing material namely printed cartons of paper and paper board with brand name of another company. Its turnover for the year 2008–09 was Rs.2 crore and in the year 2009–10 it is expected to increase by 50%. The firm has approached you as a consultant whether it is eligible for concession under Notification No. 8/2003 dated 01.03.2003 as amended. Is exemption available to the firm? If yes, what is the limit of turnover, for which the exemption is available for both the years, i.e. 2008 - 09 and 2009 –10? | 5 | (0) | ||
| (b) | Which reasons shall not be considered as special and adequate for awarding sentence of imprisonment for a term of less than six months as per section 9(3) of the Central Excise Act, 1944? | 4 | (0) | |||
| (c) | How can the goods kept in a warehouse for the purpose of export be diverted for home consumption? Explain briefly. | 4 | (0) | |||
| (d) | Can the Department file an appeal in respect of same assessee, if in respect of some years, no appeal was filed involving identical dispute? | 2 | (0) | |||
| PART—B |
| 4. | (a) | Briefly explain the following with reference to the Customs (Determination of Value of Imported Goods) Rules, 2007: | 3+3=6 | |||
| (i) | Goods of the same class or kind | (0) | ||||
| (ii) | Computed value | (0) | ||||
| (b) | Mr. Vasu, the assessee, was summoned under section 108 of the Customs Act, 1962, to give his statement in an inquiry. He filed the application for anticipatory bail in the District and Sessions Court which was disposed on the ground of being premature. However, he later moved to the High Court, which granted him anticipatory bail with a direction to the authorities that he should not be arrested without giving a seven day’s prior notice to him. The Revenue contended that the order passed by the High Court was illegal and erroneous. Explain, with the help of a decided case law, if any, whether the stand taken by the Revenue is sustainable in law? | 5 | (0) | |||
| (c) | Goods manufactured or produced in India, which were earlier exported and thereafter imported into India will be treated at par with other goods imported into India. Is the proposition correct or any concession is provided on such import? Discuss briefly. | 5 | (0) | |||
| (d) | Ascertain whether the exporter is entitled to duty drawback in the following independent cases and if yes, what is the quantum of such duty drawback: | 2+2=4 | ||||
| (i) | FOB value of goods exported is Rs.50,000. Rate of duty drawback on such export of goods is 1%. | (0) | ||||
| (ii) | FOB value of 2,000 kgs goods exported is Rs.2,00,000. Rate of duty drawback on such export is Rs.30 per kg. Market price of goods is Rs.50,000 (in wholesale market) | (0) | ||||
| 5. | (a) | Assessable value of certain goods imported from USA is Rs.10,00,000. The packet contains 10,000 pieces with maximum retail price of Rs.200 each. The goods are assessable under section 4A of the Central Excise Act, 1944, after allowing an abatement of 40%. The excise duty rate is 8% ad valorem. Calculate the amount of additional duty of customs under section 3(1) of the Customs Tariff Act, 1975 assuming basic customs duty @ 10% ad valorem. | 4 | (0) | ||
| (b) | What are the provisions made under the Customs Act, 1962 regarding control of customs over the warehoused goods? | 4 | (0) | |||
| (c) | What are the orders that are appealable to the High Court under the Customs Act, 1962? Can the delay in filing an appeal be condoned by the High Court? | 4 | (0) | |||
| (d) | What are the provisions made under the Customs Act, 1962, regarding personal hearing and order under advance ruling? | 4 | (0) | |||
| PART—C |
| 6. | (a) | State with reasons in brief, whether service tax is payable in the following cases: | 2x3=6 | |||||
| (i) | Services provided to Special Economic Zone (SEZ) unit and SEZ developer, except where services are wholly consumed within SEZ. | (0) | ||||||
| (ii) | Services provided by SEZ to DTA (Domestic Tariff Area). | (0) | ||||||
| (iii) | Services provided by Indian agents undertaking marketing in India of goods of a foreign seller. | (0) | ||||||
| (b) | Briefly state the concept of export of taxable services under rule 3 of the Export of Services Rules, 2005. | 4 | (0) | |||||
| (c) | Ascertain whether the refund of service tax paid on input services can be claimed in the following case:
| 3 | (0) | |||||
| (d) | Explain the provisions of best judgement assessment provided under section 72 of the Finance Act, 1994 as amended. | 3 | (0) | |||||
