TMI Blog2015 (6) TMI 774X X X X Extracts X X X X X X X X Extracts X X X X ..... of the same grade and identification code in the absence of any sale of belts in running length to other independent importers. - On comparison, the original authority found that the Swiss Company is allowing a 20% discount to independent buyers, whereas the respondents have been charged a lower price after allowing 33.3% discount - Once it is held that the supplier and the importer are related and the relationship has influenced the price, valuation cannot obviously be done under the Transaction value method accepting the declared value - The value established by the original authority adequately represents cost plus freight to the suppliers based on independent sales once the cutting and joining charges are adjusted. Fact arrived on the b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... any were related persons, the transaction in question was on principal to principal basis and was at arms length and the price at which the goods in question were bought by the appellant was the market price of such goods at which these goods were sold and therefore, the appellant had not sought any advantage because of the relationship between the parties. This contention has been rejected by the CESTAT by giving following reasons: - 3. While examining whether the relationship between the Swiss Exporter and the respondents has influenced the price of the impugned imported goods, the original authority found that the impugned goods imported by the respondents are not being sold to any other unrelated importer in India. However, he foun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce it is held that the supplier and the importer are related and the relationship has influenced the price, valuation cannot obviously be done under the Transaction value method accepting the declared value. The original authority has therefore, rightly, in our view, rejected the declared value. He has ordered assessment after disallowing the extra 13.3% discounts by which an arms-length price, so to say, has been established which has inter alia taken into account the 20% extra cost involved in cutting and joining the belt in running length imported by the respondents. The secondary methods of valuation in the Customs Valuation Rules, based on value of identical/similar goods, deductive and computed value methods and the residual method a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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