TMI Blog2023 (7) TMI 217X X X X Extracts X X X X X X X X Extracts X X X X ..... MI 173 - CESTAT AHMEDABAD] and are applicable in the present case. The tolerance limit of upto 3 or even 5 % has been approved in the above decisions and therefore percentage of 1.66 is within the limit of indicated tolerance limit of case law. Again the public notice does not bring out commodity wise tolerance limits citing any technical literature for the same and therefore the same cannot be preferred over the criteria indicated by the CBEC in circulars cited above. It, therefore, follows that for Bulk Cargo at the relevant time, not the weight but value paid was the criteria of duty and the transaction value or invoice price and not the quantity, in any case, was to be the basis of assessment. Demand do not sustain - Appeal allowed. - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... harged by the foreign supplier for the goods imported and the price actually paid by the Appellant for the goods imported was US $ 879,693.76 only and no amount over and above the said price of US $ 879,693.76 was paid by the Appellant for the goods imported. There was accordingly no change in the transaction value. 1.5 However, by Order-in-Original dated 29-2-2016 (Page 35 of Appeal) as upheld by Order-in-Appeal dated 2-12-2016 (Page 39 of Appeal),extra duty of Rs.2,33,311/- was charged on the said marginal excess quantity and the same was held liable to confiscation under Section 111(m) of the Customs Act 1962 and fine of Rs.1,00,000/- and penalty of Rs.75,000/- were imposed. The Order-in- Original, in Para 9.5 clearly holds that there wa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of weight as per the Customs Tariff Act, 1975 as amended from time to time. For assessment of such goods, examination order shall necessarily contain verification of total gross/net weight of the goods during examination and the same shall invariably be endorsed by examining staff in the examination report of the subject goods on Bill of Entry. 2. The issue was examined on the basis of the provisions made in the Customs Appraising Manual, Chapter IV of Volume III deals with weighment for assessment purpose. As per Point 6(E) of the Manual, if the deviation in declared weight is not more than 1% or if the amount of duty involved on excess weight doesn't exceed Rs. 25/-, the declared weight may be accepted. As per Point No 10, when excess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 15 (323) ELT 433 (S.C). The Board Circular No. 6/2006- Cus., dated 12.01.2006, as well as Circular No. 34/2016-Cus dated 26.07.2016, both are reproduced below: Cargo Liquid bulk cargo - - Quantity determination relevant only when Customs duty paid at specific rate Circular No. 6/2006-Cus., Dated12-1-2006 F. No. 467/79/2005-Cus.V Government of India Ministry of Finance (Department of Revenue) Central Board of Excise Customs, New Delhi Subject: Assessment of Bulk Liquid Cargo Ship Ullage Report v. Shore Tank receipt - Ref. Circular No. 96/2002-Customs, dated 27-12-2002. Attention is invited to the Board's Circular No. 96/2002- Customs, dated 27-12-2002 [2003 (151) E.L.T. T21] on the above mentioned subject, wherein, it was conveyed that, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed goods, i.e., transaction value, irrespective of quantity ascertained through shore tank measurement or any other manner. Further, in respect of delivery at more than one port, the value should be apportioned based on the quantity intended to be discharged at the relevant ports. However, wherever the customs duty leviable at specific rate, the determination of quantity would be relevant for levy of customs duty. In this regard, the contents of Para 7 of the Circular No. 96/2002, dated 27th December 2002 may be referred to only in respect of cases where the Customs duty is leviable at specific rate. All pending provisional assessment should be finalized accordingly. 5. Circular No. 96/2002-Customs, dated 27th December 2002 stands amended t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tructions may be brought to the notice of the Board at 6. Hindi version follows. 2.2 His point of emphasis was that in case of Bulk Liquid Cargo imports, the basis of levy of customs duty when duty is ad valorem is transaction value till the time invoice price has been paid by the importer in India. He submitted that the above Board Circulars were totally ignored by the Lower Authorities in preference to public notice prescribing tolerance of 1% for all cargo, other than marble slab and the same was done without any basis being indicated in the public notice, which was position clearly contrary to the decisions as above cited by him. 3. Learned AR justified the order on the basis of public notice and reiterated the findings of the Lower Aut ..... X X X X Extracts X X X X X X X X Extracts X X X X
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