Home Case Index All Cases Customs Customs + AT Customs - 2016 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (3) TMI 510 - AT - CustomsValuation - Related party transaction value - inclusion of royalty - whether royalty paid is for condition of sale or not - Legality of Commissioner (Appeals) order - Held that:- the Lower Appellate Authority has not discussed the issue as to how the revenue's contentions are not acceptable nor it has considered the intricacies of the agreements and the subsequent amendment agreements, billing and pricing patterns, instead, merely relied on this Tribunal's decision of ABB Ltd. It was pertinent to see that the Tribunal in the above judgement relied on Hon'ble Supreme Court's decision of Ferodo India Pvt. Ltd. and the Apex Court held that if on examination of the pricing agreement in juxtaposition in EAA and if the department proves that the importers/buyer has misled the department by adjusting the price of the imported item in the guise of increased royalty/licence, then the adjudicating authority would be right in including the cost of royalty/licence fees paid in the price of the imported goods but This ruling of the Apex Court has been overlooked by the lower authorities. There was no discussions either on facts or on legal issues in his impugned order and also it had not examined in detail the agreements and amendment agreements but merely endorses the respondent's view without any discussion. Therefore, the Commissioner (Appeals) order is set aside. - Matter remanded back to decide on merits
|