Home Case Index All Cases Customs Customs + AT Customs - 2014 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (12) TMI 809 - CESTAT MUMBAIValuation of goods - Enhancement of value of goods - Inclusion of royalty amount - Held that:- As no royalty or value of any amount over and above the invoice price has been paid by the appellant for finished goods and capital goods to the related supplier, and there is no finding of the Adjudicating Authority that the price of the said goods have been influenced being a related person. Therefore, we hold that the loading of 12% on capital goods and finished goods is incorrect. - As per the agreement, the appellant are required to pay the licence fee @ 12% on the net invoice amount of all products manufactured and sold with the trade-mark which clearly means that the licence fee is being paid by the appellant for use of the trade-mark for manufactured goods. There was no condition of sale that the appellant is required to pay this royalty on the imported goods. Inclusion of royalty paid on import of raw material - Held that:- As per the agreement, the appellant are required to pay the licence fee @ 12% on the net invoice amount of all products manufactured and sold with the trade-mark which clearly means that the licence fee is being paid by the appellant for use of the trade-mark for manufactured goods. There was no condition of sale that the appellant is required to pay this royalty on the imported goods. Royalty paid by the appellant @ 12% on the sale value of the manufactured goods is not required to be loaded on the invoice price of the raw material.- Decided in favour of assessee.
|