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2014 (9) TMI 988 - CESTAT MUMBAIInclusion of royalty amount in assessable value – Vide impugned order, appellate authority set aside order passed by assessing officer, by holding that royalty and licensing fee paid by appellant, to related foreign supplier SI Group, USA is includible in assessable value of goods imported under provisions of Customs Valuation Rules, 2007 – Held that:- reading of rule makes it abundantly clear that to include royalties or licence fees or any other payments in assessable value of goods imported, such payments should relate to goods and should be condition for sale of goods – Only if these conditions are satisfied, question of inclusion of these elements of cost in assessable value of goods imported would arise – Tribunal had considered more or less identical facts in case of ABB Ltd. [2012 (11) TMI 571 - CESTAT MUMBAI] and held that royalty payment cannot be said to have nexus with imported goods if agreement grants licensee a non-exclusive, non-permissible licence technology to manufacture and sell licensed products making use of licence technology – In factual and legal analysis, court hold that royalty/technical know-how fee and service charges fee paid by appellant to foreign collaborators are not includible in assessable value of goods imported by appellant – Accordingly court set aside impugned order – Decided in favour of assesse.
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