2016 (11) TMI 830

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..... nsated for such expenses which is difference in margin and not dealer price - Held that: - the issue of cost of advertising, marking, publicity incurred by the dealer from their margin cannot be included in the assessable value of the vehicle. As regards various other expenses on aftersale services, we find that the Apex Court in the case of CCE v. TVS Motors Co. [2015 (12) TMI 874 - SUPREME CO .....

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..... n in these appeals is regarding the inclusion of dealers margin in the assessable value on the ground as per the dealers agreement, dealer is supposed to incur expenses towards advertising, publicity, marketing, after sale services etc. which are required to be done by the respondent and the dealer is compensated for such expenses which is difference in margin and not dealer price. Revenue authori .....

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..... 6 (S.C.) and Govt. of India v. Madras Rubber Factory - 1995 (77) ELT 433 (S.C.) held that such expenses add to the intrinsic value of the goods hence, have to be included in the value for payment of excise duty in the assessable value. It is his further submission that the Apex Court in the case of CCE v. Surat Textile Mills Ltd. - 2004 (167) ELT 379 (S.C.), CCE v. Poona Bottling Co. Ltd. - 2005 .....

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..... e value and the said judgment of the Tribunal has been upheld by the Apex Court. It is his further submission that the Apex Court in the case of CCE v. TVS Motors Co. - 2016 (331) ELT 3 (SC) has held that aftersale services cost is not liable to be included in the assessable value for discharge of duty. 6. We have considered the submissions made by both sides and perused the records. It is se .....

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..... e adjudicating authority was correct in dropping the demands raised by the show-cause notice towards the inclusion of the cost of advertising charges from the dealers margin. 6.1As regards various other expenses on aftersale services, we find that the Apex Court in the case of TVS Motors Co. (supra) has clearly held that such cost of pre-delivery inspection charges and free aftersale charges in .....

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