Determination of Assessable value - Equalisation of freight in cases of multi product, multi factory companies

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..... ct, multi factory companies Sub-Section (2) of Section 4 of the Central Excise Act, 1944 provides for exclusion of the cost of transportation from the place of removal to the place of delivery, from the value of excisable goods, where the price thereof for delivery at the place of removal is not known and the value is determined with reference to the price for delivery at a place other than the .....

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..... isen how the deduction on account of freight has to be allowed in respect of multi-product, multi-factory companies where it may not be possible to work out separately product-wise and factory-wise freight charges to be deducted. Similar question was considered by the CEGAT in the case of M/s Indian-Explosive Ltd. Vs. CCE [1989 (40) ELT 190(t) and it was held as follows:- Deductions on account of .....

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..... for the purposes of Section 4(2) of Central Excise Act, 1944. 5. For removal of any doubt, it is further clarified that the deduction of equalised freight/averged freight from the price prevalent at other place of removal as defined under clause (ii) to section 4(4)(b) would not arise on and after 28.9.96. The clarification given against the fourth point of doubt in Board's F.No. 6/31/96-CX.1 (c .....

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