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2017 (12) TMI 211 - CESTAT NEW DELHIValuation - includibility - bought out items supplied along with plastic jars - whether the value of the bought out item i.e. cap which is also supplied along with the plastic jars manufactured in the appellant’s factory is to be included in the transactional value of the jar for payment of excise duty? - Held that: - It is a matter of common sense that the plastic bottle becomes complete only with the addition of the cap. Instead of saying that the bought out items have been supplied with the manufactured goods, it will be more appropriate to say that complete plastic bottles were supplied by the appellant to their sister units. In terms of section 4 of the Central Excise Act, duty is required to be paid on the value of the goods supplied. The plastic bottle is of no use without the cap. Hence the cap is not an optional accessory but an essential part of the plastic container - In the case of Sidhartha Tubes Ltd., [2005 (12) TMI 91 - SUPREME COURT OF INDIA], the Hon’ble Apex Court has taken the view, that the value of sockets which were essential for functioning of pipes as it joins the pipes to each other will be includible in the assessable value of pipes. Appeal dismissed - decided against appellant.
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