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2016 (3) TMI 570 - CESTAT MUMBAIComputation of assessable value - exclusion/ inclusion of installation/erection/commissioning charges at site of the customer - Held that:- The appellant have raised two invoices one is towards sale of the machines and second for integration and commissioning of the machines supplied to the customers. Integration and commissioning is an independent activity which can be performed either by the appellant or any out side agency, charges recovered towards integration and commissioning charges is not related to the sale of the goods but it is for independent and distinct identified activity. Once the goods are fully manufactured and cleared from the factory activity of erection installation carried out subsequently the charges therefore cannot be included in the assessable value. It is not the case of the Revenue that in the light of integration and commissioning charges appellant have suppressed the sale value of the machines, but it is also not the case that value charged for the integration and commissioning is over valued therefore the amount charged for intimation and commissioning has to be accepted for the activity carried out by the appellant at site of the customers. This Tribunal in various judgments time and again held that installation/erection/commissioning charges at site of the customer is not includible in the assessable value. SEE Commissioner of C. Ex. Chandigarh Vs. Khosla Machines Pvt. Ltd [2014 (3) TMI 375 - CESTAT NEW DELHI], ) Erricsson India Pvt. Ltd Vs. Commissioner of Central Excise, Jaipur-I [2013 (8) TMI 846 - CESTAT NEW DELHI ] AND Commissioner of Central Excise, Nashik Vs. Kirloskar Oil Engines Ltd [2012 (5) TMI 547 - CESTAT MUMBAI ]. Thus it is very clear that integration and commissioning charges of the machines cannot be included in the transaction/assessable value of the machines. - Decided in favour of assessee
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