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2012 (1) TMI 124 - CESTAT NEW DELHIDuty demand - forwarding charges - Held that:- Most of the period relevant for deciding the case falls after 1-3-2003, as per this rule cost of transportation from place of removal to place of delivery does not form part of value. If such charges are recovered on averaged basis cost as arrived at by accepted principles of accounting is allowed to be deducted. Even for previous periods C.B.E. & C. has clarified vide Circular dated 30-6-2002 that such charges on averaged basis could be excluded of ascertained properly - photocopies of bills of carriers, who had transported the goods from factory to the godown of the transporters agency to do the final leg of the transportation to the buyer’s premises. This is seen recorded in para 4(1) of the adjudication order dated 20-10-2005. This submission is rejected on the ground that invoice shows that the goods were delivered at the factory gate but still the appellants collected forwarding charges. There is no finding that the charges recovered as forwarding charges were for in excess of what was recovered. The decisions quoted by Revenue were given for the reason that the assessee did not produce evidence to show that “forwarding charges” were in fact transportation charges - Decided in favour of assessee.
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