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2017 (1) TMI 207 - CESTAT MUMBAIValuation - 100% subsidiary - related party transaction - enhancement in the value by 120%, on the ground that supplier and the respondent are related person, the value charged by the supplier to the third party supply was 120% more than the value charged to the present appellant - Held that: - the Ld. Commissioner has with proper application of mind addressed the issue not only considering the fact of aspect of commission but also on law point - the appellants which is acting both as distributor and the indenting agent, and third parties in India importing directly from the supplier, both stand at different footing and not at the same commercial level. The lower authority has taken three invoices of third parties for comparison with that of-for the appellants. As per him the third party invoice price on average works out about 120% more than the price of the identical goods imported by the appellants. It is found that taking the price of the third party as bench mark as done by the lower authority, in the first item case, the discount for the appellant comes to 23.3%, and in the second item case it comes to 22.3%. for the third items, no item number has been mentioned, hence it is a matter of question whether they are identical. The findings of the lower authority appears to be factually incorrect. Enhancement of value, by lower authority is set aside - appeal dismissed - decided against Revenue.
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