TMI Blog2017 (8) TMI 99X X X X Extracts X X X X X X X X Extracts X X X X ..... in relation to an independent transaction is mentioned separately in the invoices, the amount of freight has no relevance for valuation purposes. The transportation charges are not includable in the assessable value - appeal allowed - decided in favor of appellant. - Appeal No. E/21/2009 - Final Order No. 61449/2017 - Dated:- 24-7-2017 - Mr. Ashok Jindal, Member ( Judicial ) And Mr. Devender Singh, Member ( Technical ) Sh. B.L. Narashiman, Advocate for the Appellant Sh. Atul Handa, AR for the Respondent ORDER Per : Ashok Jindal The appellant is in appeal against the impugned order demanding Central Excise duty on Transportation Charges recovered from the buyers. 2. The brief facts of the case are that the app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Freight and Transit Insurance. He also produced correspondence invoices issued by them to the buyer which shows the transportation charges separately. Therefore, he prayed that the issue has already been settled by this Tribunal in their favour, therefore, impugned order is to be set aside. 6. Heard the parties and perused the records. 7. On perusal of the records, we find that the purchased order issued by M/s Caparo Engineering India Pvt. Ltd., Pithampur, Distt. Dhar (MP) which shows that the price is excluding Sales Tax, Excise Duty, Transportation Charges and corresponding invoice also shows that the appellant has charged transportation charges separately. The issue is squarely covered by the decision of this Tribunal in their own ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... factory transaction value. The appellant undertake the transportation of the goods on pre-agreed cost which is also indicated in the purchase order. There are instances when the actual cost of transportation is either higher or lower than the cost of freight mentioned in the purchase order. When the ex-factory sale value is available, the place of removal being determined as ex-factory, the question of adding anything over and above the said ex-factory price can arise only if the transaction value is not true to the provisions of Section 4(1)(a) and is tainted. There is no finding by the lower authorities to this effect. The only ground on which certain additions on the ex-factory price was sought to be made is that the freight elements sho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice at factory gate is available, any extra amount collected in transportation charges cannot be considered for addition. In the case of Filament India v. CCE, Jaipur reported in 2003 (160) E.L.T. 314 (Tribunal-Delhi), the Tribunal held that when the sale and delivery take place at the factory gate and freight charges, which are in relation to an independent transaction is mentioned separately in the invoices, the amount of freight has no relevance for valuation purposes. 11. Considering the above discussion, we find that there is no justification for any addition to the ex-factory transaction value in the present case. We accordingly set aside the impugned order and allow the appeal with consequential relief, if any. Considering ..... X X X X Extracts X X X X X X X X Extracts X X X X
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