Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2018 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (1) TMI 917 - AT - Central ExciseValuation - job-work - Rule 10A of the Central Excise Valuation Rules - Department was of the view that the inputs were manufactured by the appellant on job work basis for M/s Zydus and hence the valuation of the goods for purposes of charging excise duty were to be done in terms of Rule 10A of the Central Excise (Determination of Price of Excisable Goods) Rules, 2000. Held that: - In terms of the agreement, it is evident that the appellant is required to manufacture the goods exclusively for M/s Zydus, and using their specifications as an agent of M/s Zydus, and using the technical knowhow relating to the product which will be supplied by M/s Zydus - It is evident from the above clause of the agreement that the goods are to be manufactured from inputs supplied by the suppliers identified by M/s Zydus which clearly satisfies as the third condition in the Explanation to Rule 10A. Further on perusal of the various clauses of the agreement read together leads to the conclusion that the goods have been manufactured by the appellant as a job worker on behalf of M/s Zydus. Once we conclude that the appellant has acted as a job worker for M/s Zydus the mischief of Rule 10A of the Valuation Rules becomes applicable and the goods are required to the valued on the basis of the price at which the principal manufacturer, M/s Zydus sells such goods from their depot. Appeal dismissed - decided against appellant.
|