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TMI Blog2023 (3) TMI 1215X X X X Extracts X X X X X X X X Extracts X X X X ..... he Department. It is submitted by him that as per periodical review, the earlier Order-in-Original No.5884/2007 dated 19.02.2007 was taken up by the Special Valuation Branch. In the said order, it was directed to include the fee of EURO 40,000 for transfer of technical knowhow in the assessable value on import of new capital goods. The importer had filed an affidavit stating that there is no change in technical collaboration / agency / distribution agreement / method of invoicing and also submitted relevant documents/affidavit and invoices. They requested to maintain the earlier OIO No.5884/2007 dated 19.02.2007. After verifying the documents, the Special Valuation Branch passed Order-in-Original No.11461/2010 dated 25.03.2010 directing to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 21.06.2004. The decisions in the case of CC (Port), Kolkata Vs J.K. Corporation Ltd. - 2007 (208) ELT 485 (SC) and CC (Port), Chennai Vs Toyota Kirloskar Motor P. Ltd. - 2007 (213) ELT 4 (SC) was relied to argue that when the technical knowhow which is given, is not a condition for sale of the goods, the same cannot be added to the assessable value of imported goods. There was an omission to put forward this argument before the original authority. Being a legal issue, the respondent opted to file appeal before Commissioner (Appeals). Ld. Counsel prayed that appeal filed by the department may be dismissed. 4. Heard both sides. 5. The issue to be decided is whether the order passed by the Deputy Commissioner, Special Valuation Branch direc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ms duty would be payable on the purchase price of the goods by adding the value of licence and technical knowhow, etc. to the value of the imported goods. 9. The basic principle of levy of customs duty, in view of the aforementioned provisions, is that the value of the imported goods has to be determined at the time and place of importation. The value to be determined for the imported goods would be the payment required to be made as a condition of sale. Assessment of customs duty must have a direct nexus with the value of goods which was payable at the time of importation. If any amount is to be paid after the importation of the goods is complete, inter alia by way of transfer of licence or technical knowhow for the purpose of setting up ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wax oxidates in India, a fact correctly discerned by the lower appellate authority from the agreement between the importer and the supplier. The payment had no relation to the imported goods. Moreover, the payment was not a condition for the sale of the goods to the importer. The averments to the contra in this appeal of the Revenue are only ipse dixit. Neither of the conditions for applicability of Rule 9(l)(c) existed in this case. Therefore, the aforesaid fee was not liable to be added to the transaction value of the goods imported by the respondents. This view is squarely supported by the decision of this Bench in HIS Automotive Ltd. v. Commissioner of Customs, Chennai, 2008 (224) E.L.T. 439 (Tri. - Chennai) and the decision of the Apex ..... X X X X Extracts X X X X X X X X Extracts X X X X
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