TMI Blog2004 (7) TMI 150X X X X Extracts X X X X X X X X Extracts X X X X ..... f transportation charge to the buyer in addition to the price for the goods and shown separately in the invoice for such excisable goods. We find that in the present case, the cost of transportation was not shown in the invoices separately for the excisable goods. The appellants claimed before the lower authorities that since Valuation Rules, 2000 came into force from 1-7-2000 and they received these late, they could not get their computer software modified immediately but from 1-11-2000 they started showing the freight separately and for the period in dispute, they issued debit notes for the freight amount. Since the law does not require charging of duty on freight, therefore for a lapse of not showing the freight separately, substantial b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ubsequent to clearance and have not shown the same in their clearance invoices. Therefore, a show cause notice was issued demanding duty amount of Rs. 6,10,323/- on the total freight of Rs. 44,35,203/- collected by them and for which debit notes were issued. The Original Authority confirmed the demand on the ground that on going through the statement of freight charges collected through debit notes as furnished by the appellants and as verified by the Jurisdictional Range Officer, it was found that in most cases the appellants have collected the freight charges in excess of actual reflected in the L.Rs. They paid the duty on differential amount. The cost of transportation was not indicated in the excise invoices, instead the cost of transpo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee claiming equated/equalized freight is permissible and they cannot be discriminated against other assessees who are being allowed actual freight. ... Since the cost of transportation has not been shown separately in the invoices, the case has been remanded to the Adjudicating Authority to verify the actual freight and whether duty has been paid after deducting the amount from the assessable value on the actual freight so charged by them." 3. Shri L. Narasimha Murthy, learned SDR appearing for the Revenue stated that according to Rule 5 of the Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000 as was prevalent at the relevant time, the cost of transportation can only be deducted from the transaction value, i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reflected in the L.Rs. According to Rule 5, if the goods are sold for delivery at a place other than the place of removal, then the value of the such excisable goods shall be deemed to be the transaction value excluding the actual cost of transportation from the place of removal up to the place of delivery of such excisable goods, provided the cost of transportation charge to the buyer in addition to the price for the goods and shown separately in the invoice for such excisable goods. We find that in the present case, the cost of transportation was not shown in the invoices separately for the excisable goods. The appellants claimed before the lower authorities that since Valuation Rules, 2000 came into force from 1-7-2000 and they received ..... X X X X Extracts X X X X X X X X Extracts X X X X
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