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2016 (12) TMI 144 - CESTAT HYDERABADValuation - the assessee was separating the elements of manufacture cost and transportation cost for calculating Excise duty and duty element was calculated on only for manufacture cost which appeared to be not correct - Held that: - it becomes evident that, only after the goods are inspected and passed by Railways can the goods be in fact dispatched out of appellant's factory. Once such inspection is completed only the "'last date of delivery"' is specified. Again, once such inspection is completed at appellants factory, there is no further inspection at the time of delivery, only condition being that IPSs should be received in "good and acceptable condition" at consignees end, after which balance 90% of the payment/reimbursement will be effected. Thus the road transport to consignee's stores is merely for the sake of convenience and a standard requirement in the Railway Tender/contract, and in any case the transportation charges are reimbursed by Railways to the appellant. In such a situation it is fallacious to hold that the place of removal has been shifted from factory gate to place of delivery. The place of removal is 'the factory gate of the appellant, and cost of transport charges and transit insurance cannot be included in the assessable value - appeal allowed - decided in favor of appellant.
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