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2017 (12) TMI 543 - AT - Central ExciseValuation - depot sale - whether the assessment was to be done as per Section 4 or otherwise? - Held that: - In respect of the clearances made through depots, the goods are stock transferred first to the warehouse and subsequently to the depot from where the goods are sold to the dealers. In such cases duty payable at the factory gate will be covered by Section 4 (1) (b) of the Central Excise Act read with Rule 7 of the Valuation Rules - the mandate given by Section 4 (1) (b) read with Rule 7 of the Valuation Rules, for taking contemporaneous depot prices cannot be extended to depot sale invoice which is nearly one month subsequent to the date of clearance. It is common knowledge that on the date of clearance from the factory only those depot invoice prices will be available to the assessee which have been issued prior to that date and it is four to consider the value on the basis of such invoices. The basis on which the demand has been raised by demanding differential duty is not legally sustainable. Duty already stands paid on the highest transaction value determinable for all depots as on the date of clearance from factory. This satisfies the mandate of Sec 4(1) (b) read with Rule 7 ibid - appeal allowed - decided in favor of appellant.
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