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2023 (6) TMI 641 - CESTAT KOLKATAValuation - supply by the retail outlets by providing infrastructure such as, tank, pumps, building etc. based on the requirements of such RPO - inclusion of rent recovered (Service Station Licence Fee 'SSLF') by the appellant in the assessable value for the purposes of levy of excise duty - HELD THAT:- In the appellant’s own case INDIAN OIL CORPORATION LTD. VERSUS COMMISSIONER OF C. EX., CHENNAI [2006 (9) TMI 440 - CESTAT, CHENNAI], this Tribunal has held SSLF collected by the assessee from their dealers was in the nature of rental on land, tanks, pumps and kiosks installed by the former for the benefit of the latter. A similar fee was collected by M/s. Hindustan Petroleum Corporation Ltd. (HPCL, for short) from some of their dealers and the same was held to be not includible in the assessable value of the petroleum products supplied by M/s. HPCL to such dealers, by the Commissioner (Appeals), Mangalore. And the same was taken up by this Tribunal in the case of BPCL VERSUS COMMISSIONER OF CENTRAL EXCISE, COCHIN [2003 (9) TMI 168 - CESTAT, BANGALORE] where it was held that It is clear from the facts of the case that leasing out of outlets and sale of MS and HSD oil are separate transactions between the appellants and their buyers of MS and HSD. This is clear from the fact that no licence fee is levied from the dealers who have not leased out the outlets of the appellants. In the circumstances, it has to be held that licence fee, which is for a different transaction and consideration than the sale of MS and HSD cannot form part of the assessable value of MS and HSD. Thus, he issue is no more res integra. Accordingly, the SSLF is not includable in the assessable value - appeal allowed.
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