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2014 (4) TMI 650 - AT - Central ExciseValuation of goods - Inclusion of testing charges - whether the testing charges for the customer s tonners which according to the Respondent are optioned, are part of the transaction value of the goods - Held that:- During the period w.e.f. 01.07.2000, under Section 4(1)(a), the assessable value of the goods, on each removal, shall, in a case where the goods are sold by the assessee, for delivery at the time and place of removal to unrelated buyers and price is the sole consideration for sale, is the Transaction value - any amount that the buyer is liable to pay to or on behalf of assessee for the reason of or in connection with sale would cover the amount paid or payable by the buyer for the goods, only for the expenses which contributed to the value of the goods or are necessary to make the goods marketable and this expression would not include the amounts paid by the buyers for something which has no nexus with the emergence of marketable goods or does not contribute to the value of the goods up to the point of sale from the place of removal. Thus if some goods become marketable and can be sold only when packed in certain type of containers and testing of those containers is mandated by law, the testing charges of those containers would be includible in the value along with the cost of such containers if the containers are of durable and returnable nature, the amortized cost of the container including testing charges during the period of use would be includible in the assessable value - Cylinder testing charges are not includible in the assessable value of the liquid chlorine and there is no infirmity in the impugned order - Decided against Revenue.
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