TMI Blog2007 (11) TMI 114X X X X Extracts X X X X X X X X Extracts X X X X ..... vered by the proviso to Rule 9 - By virtue of this proviso, Rule 8 gets attracted & accordingly the A.V. shall be 115% of the cost of production of the goods - Rule 11 (price actually charged to the related buyer) not applicable for valuation - E/583/2002 - 1352/2007 - Dated:- 13-11-2007 - S/Shri P.G. Chacko, Member (J) and P. Karthikeyan, Member (T) [Order per : P.G. Chacko, Member (J)]. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... oner (Appeals). Hence the present appeal. 2. After hearing both sides and considering their submissions, we note that the lower authorities choose to apply Rule 11 of the Valuation Rules to the goods in question. They have adopted the price actually charged to the related buyer as the basis of the assessable value, holding the view that the agreement between the assessee and the related buyer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... In the present case, relationship of the assessee to the buyer being an admitted fact, the applicability of transaction value concept to the subject goods under Section 4(1)(a) of the Act is ruled out and the provisions of Section 4(1)(b) of the Act get attracted. The question now to be considered is whether it should be Rule 8 [relied on by the assessee] or Rule 11 [relied on by the lower authori ..... X X X X Extracts X X X X X X X X Extracts X X X X
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