Principle of res judicata can override contrary ruling of Supreme Court; CESTAT rules in assessee's favour

Where earlier judgment of Tribunal in case of very same assessee had been accepted by Department, principle of res judicata is applicable and judgment of Tribunal will govern case despite contrary Supreme Court judgment

The Assessee claimed a deduction from value of excisable goods, which was allowed by the Commissioner (Appeals).In case of other assessees, said deduction was held not allowable by Supreme Court . The Department applied Supreme Court judgment and held that assessee was not eligible for said deduction.

The Tribunal allowed Assessee’s claim with following observation:-

1) In assessee's own case, for earlier period, the Tribunal had allowed assessee's claim and said order had attained finality being not challenged by Department

2) Though decision of Apex Court has retrospective effect, but, since earlier judgment in case of very same the assessee had been accepted by Department, principle of res judicata was applicable.

3) Therefore, impugned order allowing deduction was to be upheld.- Commissioner of Central Excise v. Raptakos Brett & Co. Ltd. (2013) 39 taxmann.com 63 (Mumbai - CESTAT)