Excise duty payable on amount received from Honda India due to cancellation of contract

Rajasthan Prime Steel Processing Center Pvt. Ltd. Vs Commissioner Central Excise and CGST (CESTAT Delhi) Appellant is engaged in the manufacture of auto parts which the appellant sells to many buyers. The appellant had entered into a contract with Honda India for supply of auto parts used in the manufacture of motor vehicles. For the purpose of manufacture of auto parts, the appellant had imported raw material and in view of the urgent requirement of Honda India, it air-lifted the raw material which resulted in extra cost of transportation. However, Honda India cancelled the purchase order. Th...