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2023 (3) TMI 1215 - AT - CustomsValuation of imported goods - inclusion of fee of EURO 40,000 for transfer of technical knowhow in the assessable value on import of new capital goods - whether the order passed by the Deputy Commissioner, Special Valuation Branch directing to modify the order so as not to include the technical knowhow fee to the assessable value of imported goods is legal and proper? HELD THAT:- The collaboration agreement has been perused and it is found that the transfer of knowhow and related technical assistance was not a condition for sale of the capital goods. The Hon’ble Apex Court in the case of J.K. Corporation Ltd. [2007 (2) TMI 1 - SUPREME COURT] held that Any amount paid for post-importation service or activity, would not, therefore, come within the purview of determination of assessable value of the imported goods so as to enable the authorities to levy customs duty or otherwise. The Rules have been framed for the purpose of carrying out the provisions of the Act. The wordings of Sections 14 and 14(1A) are clear and explicit. The Rules and the Act, therefore, must be construed, having regard to the basic principles of interpretation in mind. Thus, the view of the Commissioner (Appeals) that technical knowhow fee of EURO 40,000 need not be included in the assessable value of imported goods is legal and proper - appeal dismissed - decided against Revenue.
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