Reliance Jio Infocomm Ltd vs The Commissioner Of Cgst & Central ... on 18 April, 2022
58. The learned authorized representatives of the department also
placed reliance on the judgment of the Jharkhand High Court in Gyan
Enterprises Trade Division vs. Coal India Ltd. 25. The said
judgment was rendered in the context of a dispute between entities
bidding for coal vis-à-vis coal manufacturers, who were claiming that
excise duty was required to be paid on the value including Royalty and
Stowing. The buyers of coal challenged this action of the manufacturer
on the ground that the issue as to whether Royalty was a tax was
pending decision before the Supreme Court and consequently, it was
not permissible for the manufacturer to recover excise duty on the
amount of Royalty and Stowing. It is in these facts that the High Court
directed the buyers to reimburse the manufacturers of the excise duty
component.