9911796707
TMI Blog1996 (10) TMI 299X X X X Extracts X X X X X X X X Extracts X X X X ..... the collecting agents of the appellants are eligible for deduction from the assessable value. 3. The facts of the case are that the appellants filed price lists under protest showing that the cost of durable and returnable containers as includible in the assessable value as per the direction of the Department. It is the contention of the appellants that they are paying this duty under protest and that the cost of durables and returnable packing is deductible from the assessable value. The price list was approved without giving deduction. They continued to pay duty under protest. Thereafter they filed claim for refund within the period of 6 months from the date of payment of duty. The contention of the appellant is that in their invoic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eturnable through bag collecting agents". He therefore pointed out that the decision of the Larger Bench of the Tribunal in the case of Associated Cement Companies Ltd. v. Collector of Central Excise reported in 1987 (27) E.L.T. 746 is applicable to the facts of this case. He pointed out that no actual return of the containers is required. All that is required is there should be an arrangement between the appellants and the buyers for the return of the bags. 5. The learned SDR Murugandy on the other hand contended before us that there is no such arrangement here in this case. The buyers sold the bags to the agents at the price prevalent at the time of purchase who in turn sells the same to the appellants and therefore there is no suc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the simple reason that between the issue of the packed bag and return of the empty bag, the bag has undergone some period of use and naturally it would not fetch the same price as when new or in better condition. Further, as to how much amount should be refunded for the serviceable bag is a matter between the buyer and the seller. It is thus seen that what is required to be seen in this case is whether there is such an arrangement. Now it is not disputed that the agents of the appellants are purchasing the bags from the buyers at the prevailing price.Those agents are also selling the bags to the appellants. Consequently those bags in which the goods are supplied come back to the appellants. There is also a mention in the invoice to that eff ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... means one need not actually return but what is required is an arrangement between the buyers and the suppliers to return the goods. In the facts and circumstances of the case the above activity of the appellant and the buyers as well as the so called agents would amount to such an arrangement. Subject to satisfcation of authorities that the same bags are return. In that view of the matter the appellants are entitled for the deduction of this amount from the assessable value. Subject to the above satisfaction. Accordingly they are entitled for the refund in this behalf which was paid by them under protest. Subject to the above. In this view of the matter the appeals are allowed in the above terms. X X X X Extracts X X X X X X X X Extracts X X X X
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