Commissioner of Central Excise Vs. Bombay Dyeing

1. the issues in these appeals is valuation of the captively consumed yarn under erstwhile valuation rules 6 b(ii). (ii) selling and distribution exports incurred on fabrics made from each yarn.cce(appeals) set aside the inclusion of costs of input duty paid on fibre advertisement expenses not incurred & therefore were not included in the costs of yarn, as they relate to & are incurred on fabrics.interest on working capital obtained for other purposes was directed to be included on actual. it was also ordered to rework out the costs & matter was consequently remanded.3. revenue & assessee, both are in appeal, revenue for inclusion of selling & distribution expenses & advertising expenses, while assessee on additions on account of interest on working capital. the issue of determination of costing for captive consumption is no longer res integra. boards circulars no. 692/08/2003 dated 13/02/2003 modifying circular no. 258/92/96 dated 30.10.96 has to be considered & applied.the addition & deletions of various aspects of costs to be included/excluded be worked out. accordingly therefore the order of remand made by the cce(appeals) is modified to the effect that costing has to be re-determined only as per the boards instructions (supra), after hearing the assessee.