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2023 (10) TMI 221 - CESTAT AHMEDABADValuation of goods - manufacture of N-Methyl Pyrrolidone on Job-work basis - collection of certain amount towards Toll Charges or Conversion Charges, Trial Run Charges and Utility Charges from their principal M/s AACL - to be included in the manufacturing cost or not - HELD THAT:- There is no dispute that irrespective of any value of Job-work goods considering it as not a sale, the appellant have paid the excise duty on the same transaction value, at which the principal manufacturer has sold the goods to unrelated person - From the invoices, it can be seen that the Job-worker’s invoice reference was given in the sale invoice of the principal manufacturer and it is observed that in both the invoices the assessable value is the same transaction value, at which the goods were sold by the principal manufacturer. From the Rule 10A(i), it is clear that in respect of Job-work goods, when the same is sold by the principal manufacturer, the transaction value of the said goods sold by the principal manufacturer shall be adopted by the Job-worker for payment of Excise Duty. In view of the clear provision for valuation of Job-work goods, as provided in the above Rule 10A(i), there is no reason to add any other element in the transaction value - the demand in the present case is completely illegal and incorrect and without support of any law. The impugned order set aside - appeal allowed.
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