TMI Blog2017 (3) TMI 856X X X X Extracts X X X X X X X X Extracts X X X X ..... ods was not sold at customer’s premises. The freight and insurance from place of removal is excludible from the assessable value - in the respondent's own case [2015 (10) TMI 613 - SUPREME COURT] on the identical facts, the Hon’ble Supreme Court has held that the place of removal is the factory gate of the assessee. Accordingly, the freight is not includible in the assessable value in the light of the judgement of the Hon’ble Supreme Court in the respondent's own case - appeal dismissed - decided against Revenue. - E/655/06-MUM - A/86058/17/EB - Dated:- 27-2-2017 - Mr. Ramesh Nair, Member (Judicial) And Mr. Raju, Member (Technical) Shri. S.V.Nair, Asst. Comm. (AR) for appellant Shri GL Deshpande, Advocate for respondent OR ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... policy was taken by the appellant but the place of removal is factory gate. Therefore, the transportation and insurance from the place of removal upto the place of delivery is excludable from the assessable value. In support, he placed reliance on the judgement of the Hon ble Supreme Court in the respondent s own case reported in 2015 (324) ELT 670 (SC). 4. We have carefully considered the submissions made by both sides. 5. The issue to be decided is whether the freight and insurance is excludable from the assessable value in a case where insurance is taken by the appellant. We find that taking into consideration the facts and legal aspects of the issue, the learned Commissioner (Appeals) has passed the following order: I hav ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gement with the appellant. The appellant have agreement/contract on annual basis for transport of the goods of the appellant to various destination on fixed freight charges per ton basis, which being in the bulk orders as stated by the appellant happens to be much lower than the freight charges charged by other carriers for the same tonnage to the same distance. The appellants claim is that sale is affected at the factory gate which is demonstrated from the order acceptance and in terms of Escort JCB mere insuring the goods during transit by the manufacturer does not mean that the sale has not taken place at the place of removal in terms of said judgement, as the appellant states the sale is complete once the goods are handed over to the ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 29/12/2003 4675 dated 02/01/2004 A perusal of the same reveals that there is no such condition in any of the purchase order (inspection on site) as observed by the original authority. I find that the purchase order placed on the appellant are of two kinds. One where the price is shown as FOR destination. Ref. Purchase order No.SEC/503/H dated 29/09/2003. In such cases the appellant had worked out the ex-factory price after deducting the freight charges from place of removal to the place of delivery. Such charges are separately mentioned in the invoice and are on actual basis as demonstrated in the consignment note of the carrier. It is undisputed fact that the carrier has no relation whatsoever exce ..... X X X X Extracts X X X X X X X X Extracts X X X X
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