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2009 (4) TMI 355 - AT - Central ExciseValuation- the respondents are selling and marketing their products through authorised dealers as per sales policy. The dealers of the respondents are authorised to undertake joint publicity/advertisement and other sales promotion services. The respondent reimburses the said expenditure to an extent of 50% to the said dealers subject to a ceiling of 1% of the annual purchase of the dealers. It appeared to the lower authorities that as per the provisions of Section 4 of the Central Excise Act, all such expenses should form part of the value for payment of Central Excise duty. Held that- We find that there is no dispute as to respondents are only reimbursing 50% of the cost of the advertisement and publicity to their dealers. It is also not disputed that the advertisement and publicity done by the dealers is not compulsory on their part to do so. In these facts of the case, we find that the decision of the Hon’ble Supreme Court in the case of CCE Baroda v. Besta Cosmetics Ltd squarely covers the issue in favour of the assessee. We also find that the learned Commissioner (Appeals) has relied upon the very same judgment. Accordingly, we find that the issue is clearly settled by the decision of the Apex court. Hence, we do not find any merit in the appeal filed by the Revenue and the same is rejected.
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