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2019 (3) TMI 605 - AT - Central ExciseValuation - inclusion of value of the durable containers supplied by customers in assessable value - rule 6 of Central Excise Valuation (Determination of Price of Excisable Goods) Rules 2000 - period from 1st April 2008 to 30th June 2011 - Held that - The provisions of the valuation rules are under section 4(1)(b) of Central Excise Act 1944 to be resorted to when the framework articulated in section 4(1)(a) is not applicable for one or the other reason. In assessment if all circumstances specified in section 4(1)(a) are complied with except that of price being the sole consideration for sale recourse is to be had to rule 6 of Central Excise Valuation (Determination of Price of Excisable Goods) Rules 2000 for addition to the transaction value. The rules for valuation are intended to provide the guiderails for determination of value when the transaction value is not acceptable for having deviated from some or all the circumstances that together sanctify such value. The necessary implication in the context of present dispute is that it must be established that the value of clearances effected by the appellant in containers procured by them differs from the value of clearances of goods in containers supplied by their customers. Only then can there be any disquiet about the non-inclusion of the value of the durable containers so supplied by the customers and for inclusion thereof of the difference in price if attributable to the value of durable containers supplied by the customer free of cost. Moreover rule 6 of Central Excise Valuation (Determination of Price of Excisable Goods) Rules 2000 implies that the ownership whether in physical form or monetised form should vest with the appellant for it to be construed as additional consideration. No such case has been made out in the records. As the provisions of Central Excise Valuation (Determination of Price of Excisable Goods) Rules 2000 are not to be applied sequentially but as separate with mutually exclusive application in the absence of any other rule being invoked and owing to the inappropriateness of rule 6 the demand does not sustain. Appeal allowed - decided in favor of appellant.
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