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TMI Blog2019 (11) TMI 301X X X X Extracts X X X X X X X X Extracts X X X X ..... of electrical transformers and were supplying the goods to various State Electricity Boards spread throughout India. They discharged excise duty without including the freight and insurance charges. The Department was of the view that the said amounts are includable in the assessable value. Show cause notice was issued proposing to demand excise duty after including the freight and insurance charges in the assessable value. After due process of law, the original authority confirmed the demand, interest and imposed penalty. Against such order, the appellant is now before the Tribunal. 3. Ld. Counsel Shri B. Venugopal submitted that tenders are floated by State Electricity Boards inviting quotations for supply of electrical transformers. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cision in Ispat Industries Limited to hold that freight and insurance charges are not includable in the assessable value eventhough the goods are delivered at the buyers' premises. 4. The Ld. AR, Shri A. Rangadham reiterated the findings in the impugned order. He submitted that the freight and insurance charges have to be included in the assessable value as per the decision of Hon'ble Apex Court in the case or Roofit Industries Limited as reported at [2015(319)ELT 221 (S.C.)]. 5. Heard both sides. 6. The issue is whether the freight and insurance charges have to be included in the assessable value when the goods are delivered at the buyers' premises. The facts show that freight and insurance charges are separately quoted in purchase o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cumstances can the buyer's premises be the place of removal. It also made it clear that this fact was not brought to the attention of the Court when the earlier orders were passed. In view of the above, we find that it is now well settled that the buyers' premises can never be the place of removal, therefore the freight from the factory/depot/consignment agent up to the buyers' premises cannot be included in the assessable value, even if the goods are sold or delivered at the buyer's premises. In view of the above, we find that the settled legal position is in favour of the appellants and against Revenue and the demands are unsustainable on merits and need to be set aside and we do so. Since we have taken a decision on the merits of the cas ..... X X X X Extracts X X X X X X X X Extracts X X X X
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