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2014 (6) TMI 265 - AT - CustomsValuation of goods - whether the transaction price can be accepted for assessment of customs duty inasmuch as the supplier and buyer are related, and whether the cost plus method adopted for determination of price can be accepted or not - Held that:- On the basis of evidence before him, the assessing officer has come to the conclusion that VIO price adopted by the appellant are based on cost plus method and the price is sole consideration for sale. Accordingly, he has ordered for assessment of the goods on the basis of the invoice price declared by the appellant. Thus, the order of the assessing officer in the instant case has been done in accordance with law and after appreciating the evidence available on record with regard to costing - The cost plus method takes into account raw materials cost, manufacturing cost, administrative and sales overhead, packing cost, dealer’s cost, overhead and profit based on annual forecast. Thus the price declared by the appellant based on cost plus method is also supported by the documentary evidence by way of original invoices and other related documents. Therefore, we do not find any infirmity in the order passed by the assessing authority in the matter - there is no allegation of any flow-back or payment of any additional consideration by the appellant to the foreign supplier. In the absence of such positive evidence adduced by the Revenue, the argument that the transaction value cannot be accepted lacks merit and the same is rejected - Decided in favour of assessee.
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