TMI Blog1995 (12) TMI 126X X X X Extracts X X X X X X X X Extracts X X X X ..... as excise duty to be paid by the respondents. It was argued on behalf of the Department that irrespective of the fact that whether product supplied by the buyer or not value of the container is to be included in the assessable value of the product manufactured and cleared by the respondents. 2. Shri P.K. Jain, the Learned SDR contended that if the goods are normally sold in packed condition as in the instant case, the question as to who has incurred the cost of packing material is immaterial since the value of containers [forms] the part of assessable value of the product cleared by the Assessee. He submitted that Section 4(4)(a)(i) does not make any provision for excluding the cost of packing which is supplied by the buyer to the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o the assessee in all other cases the cost of the packing would have to be included in the assessable value of the excisable goods where such goods are delivered at the time of removal in packed conditions and this contention was negatived by the respective High Court and Apex Court holding that Section 4(4)(d)(i) of the Act does not make any provision for [including] the cost of packing which was supplied by the buyer to the assessee for the obvious reason that the assessee did not spend for such packing which was for this simple reason the legislature had not thought it fit to exempt such packing from of excisable goods. 3A. Shri P.K. Jain, the Learned Departmental Representative submitted that emphasis in the decision referred to by t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... facturers to the buyer is the vegetable products alone without the tin since tin admittedly belongs to the buyer. It was clearly held in the case of Govind Pay Oxygen that there is no question at all of including the price of drums or cylinder in the value of the gas for the purpose of determining the exisable duty in similar circumstances. While interpreting the Section 4(4)(d)(i) it was observed by the Karnataka High Court in the case of Alembic Gas Industry that the term value defined in Section 4(4)(d)(i) provides for exclusion of price of packing material which was of durable nature and can [be] returnable by the buyer to the assessee. Hence there was no logic or reason for not excluding the value of packing material supplied by the bu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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