TMI Blog2012 (11) TMI 648X X X X Extracts X X X X X X X X Extracts X X X X ..... should be confiscated absolutely or allowed to be redeemed on payment of fine – Held that:- Appellant was living in a foreign country for about 3 years. Further, there is no allegation that the vehicle was sought to be imported by somebody else using the name of the appellant or any other similar allegations - option to redeem the vehicle on payment of fine deserves to be given to the appellant. Enhancement of the value – Held that:- Vehicle has been imported in violation of licencing restrictions and attempted to be cleared declaring a price lower than even the admitted price - enhancement of value is upheld. - the assessable value of the impugned car works out to Rs. 18,60,725.00. - C/2441/2011 - 768/2011 - Dated:- 28-11-2011 - S/ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt. (f) The appellant waived written show cause notice and appeared for personal hearing before the original authority. (g) During personal hearing, the following submissions were made : (i) The said car has been imported from UK, which has right hand drive, which is equivalent to the Indian norms. Since it is BMW, this car has been running on Indian roads and also sold in Indian outlets. (ii) The main intention to get the car to India was that he got it at a price of around Rs. 6 lakhs including the original price, taxes, commission and other tariffs, when it is bought in UK. (iii) As the car has lot of repairs, damages and bought in auction at the said lower price, which is much lesser than the actual evalu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant has resided in a foreign country for about 3 years and was otherwise eligible to import a secondhand car if the same was in his use for a minimum period of one year. 4.2 She strongly contests the enhancement of the value. In this regard she relied on the invoice dated 9-8-2010 issued by J.N. Bauer Ltd. Trafford Garage, Trafford Road, Alderley Edge, Cheshire SK9 7NT. It was claimed that the vehicle was taken in auction and therefore, the price appears to be very low. In support of this claim that the vehicle was taken in auction, she relied on a letter dated 27-6-2011 from J.N. Bauer Ltd., which reads as under : J.N. BAUER LTD. Date: June 27th 2011 Sub: Authentication of the BMW 730DSE Pricing Dear Sir/Madam, This ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... redeemed on payment of fine is one of the issues to be considered. We find that the appellant was living in a foreign country for about 3 years. Further, there is no allegation that the vehicle was sought to be imported by somebody else using the name of the appellant or any other similar allegations. Under these circumstances, we are of the view that an option to redeem the vehicle on payment of fine deserves to be given to the appellant. 7.1 The next issue to be considered is the correctness of the decision for enhancement of the value. The appellants are not challenging the finding of the Commissioner regarding the nature and condition of the vehicle. Undisputedly, the vehicle is a high end model namely BMW 730 D SE. The year of manuf ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uthority which reads as follows : The assessable value of the impugned car can be arrived at based upon the price of the car intimated by the manufacturer. As already mentioned in paragraph 4, the manufacturer have intimated that the impugned car is of 2007 make and its price was 51,428.00 GBP, inclusive of taxes, which is the list price. Thus, starting from the aforesaid price, the assessable value of the car can be worked out. Since the above price is the list price, deduction of 15% would have to be allowed on account of trade discount. Also depreciation would have to be allowed for the 4 year period between the year of manufacture and the time of import (year of manufacture is 2007, the time of import is last quarter of 2010). As dis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erms of Rule 9 of Customs Valuation Rules, 2007, the assessable value of the impugned car works out to Rs. 18,60,725.00. 7.3 We find that the valuation has been arrived at based on manufacturers price after granting discount and allowing depreciation. 7.4 The appellant has produced documents indicating a price lower than the price admitted by them during the personal hearing. 7.5 In view of the above, we find no reason to interfere with the enhancement of value. 8. Since, the vehicle has been imported in violation of licencing restrictions and attempted to be cleared declaring a price lower than even the admitted price, penalty on the appellant is justified. 9. In view of the above the appeal is disposed of as follows : (a) ..... X X X X Extracts X X X X X X X X Extracts X X X X
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