TMI Blog1995 (11) TMI 141X X X X Extracts X X X X X X X X Extracts X X X X ..... invoice but furnished certificates from the suppliers giving the year of manufacture of engines and price of the engine in the year of manufacture and also indicating that the residual life was over five years. Machines were manufactured during the period 1982 to 1987. Import was apparently made under OGL. The Assistant Collector issued a show cause notice along- with work sheet stating that he was not prepared to accept the declared value and proposed to assess the value adopting the price at the time of manufacture less depreciation of 70% and also proposed levy of penalty. The assessee objected to the show cause notice. But the Assistant Collector passed a final order on the same basis. Assessee filed an appeal before the Collector (Appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nnot be said to be the transaction value and the question of its acceptance did not arise. The Tribunal also indicated that the burden lay on the department in bringing sufficient evidence on record. In Pragati Press v. Collector of Customs, New Delhi, - 1994 (72) E.L.T. 620, offset printing machine and paper folding machine were imported. The adjudicating authority disregarded the Chartered Engineers certificates. The authority relied on a letter from the local agents regarding prices. The authority adopted the depreciation method which was not interfered with. In Gajra Beval Gears Ltd. v. Collector of Customs, Bombay - 1995 (79) E.L.T. 82, second-hand spline milling machines of 1986 make were imported, while the licence was for import of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sable value is always deemed value i.e. the price at which such or like goods are ordinarily sold or offered for sale for importation or exportation, as the case may be, in the course of international trade where the seller or buyer have no interest in the business of each other and the price is the sole consideration for the sale or offer for sale. Sub-section 1(A) of Section 14 states that subject to the provisions of sub-section (1), the price referred to in sub-section (1) in respect of imported goods shall be determined in accordance with rules made in this behalf. The Customs Valuation (Determination of Price Goods) Rules, 1988 are the Rules made in this behalf. Rules defined goods of same class or kind , identical goods, similar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s no conflict between Section 14(1) of the Act and the Rules. 6. Where the statutory authority has reason to suspect the transaction value on the basis of proper reasons or materials, he is not required to accept the same. The authority can consider the application of the other Rules sequentially. The authority has a duty to cause enquiries to be made to find out whether there is international trade in the particular kind of goods imported and the price of such goods sold or offered for sale for delivery at the relevant time. Whether there is international trade in relation to a particular kind of goods and whether any such price contemplated in Section 14(1) can be found is a question of fact. There must be some reasonable ground for the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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