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2019 (5) TMI 981 - AT - CustomsValuation of imported goods - import and distribution of LPG - inclusion of canalizing charges paid to IOCL in the assessable value - computation of Landing Charges - shore quantity or invoice quantity of the liquid cargo - grant of refund on finalization of provisional assessment - levy of interest. Whether shore quantity or invoice quantity of the liquid cargo has to be considered for valuation and computation of import duties? - HELD THAT:- All the assessments are to be done on the basis of shore tank quantity only - reliance placed in the decision of Hon'ble Supreme Court in the case of Mangalore Refinery & Petroleum [2015 (9) TMI 245 - SUPREME COURT]. Valuation - computation of Landed Cost - addition of 1% of the assessable value or the actual cost/ to arrive at the landed cost? - inclusion of Landing fees, Berthing fees and Tug attendance charges in the assessable value - HELD THAT:- All these charges are not in the nature of pre-importation charges, therefore, all of them are not includable in the assessable value in terms of Rule 9(2)(b) of Customs Valuation Rules, 1988. Each of these expenses are to be separated and those items of expenses which pertain to import handling charges, handling fee, berthing fee and tug attendance fee which are in the nature of pre-importation cost only need to be included. Items of cost or expenditure with regards to the constructions and maintenance of shore tanks for storage of LPG, Transportation of LPG etc. which are in the nature of expenditure post importation need not be included - For the purposes of identifying the elements of pre-import charges or expenditure, the issue needs to go back to the original adjudicating authority. Whether the Canalization charges paid to M/s. Indian Oil Corporation Ltd. (canalizing agent), are to be added to the price to arrive at the assessable value? - HELD THAT:- Such charges are includable in the assessable value - issue squarely settled by the decision in the case of Hyderabad Industries Ltd. vs. Union of India [2000 (1) TMI 46 - SUPREME COURT] wherein it was held that Canalising charges are includible in the assessable value of imports. Automatic grant of refund on finalization of assessments - non-applicability of unjust enrichment - non-applicability of interest in the case of provisional assessments - Department has submitted that the issue was not taken up by the appellant before the original or appellate authority - HELD THAT:- This being a question of law the appellants have in their right to raise the issue at this level. However, for a proper appreciation of the facts and for computation of the refund view to the appellants the matter needs to go back to the original authority. Appeals are allowed by way of remand to the original adjudicating authority.
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