TMI Blog2002 (1) TMI 230X X X X Extracts X X X X X X X X Extracts X X X X ..... the main issue arising in these appeals is one and the same, we propose to dispose of the appeals under a common order. 2.Appellant imported a consignment of Audio Compact Discs from Singapore vide Bill of Entry No. 659308, dated 27-5-98. They had similar import of Audio Compact Discs from Australia under Bill of Entry No. 659289, dated 27-5-98. The dispute regarding valuation of these consignments is the subject matter of the present appeals. The appellant undertakes various music projects in India. Under these projects they enter into agreement with reputed artistes for composing and recording musical works the title and ownership, including copyrights in these musical works vest with the appellant. The music thus recorded is converted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f Entry No. 659289, dated 27-5-98 cleared for home consumption is concerned the declared value of the CDs was @ 1.62 Australian Dollar per CD, which according to the Department was not representative of their actual value. 4.Information sought by the department in respect of selling price of the CDs, details of post importation expenses etc. were all made available by the appellant. The Assistant Commissioner thereafter passed the impugned orders assessing the CDs imported from Singapore at a value of Rs. 100/- per CD and the CDs imported from Australia @ Rs. 189/- per CD. The assessing authority took the view that the transaction value of identical or similar goods was not available since it was not possible to apply the value of similar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty which come Rs. 110.24 plus Rs. 73.63 = Rs. 183.87. The landed cost of the CD was thus fixed at Rs. 323.05 and after deducting customs duty the assessable value was determined as Rs. 189/- per CD. 7.Aggrieved by the above, the assessee filed appeals before the Commissioner (Appeals). Commissioner (Appeals) while affirming the assessment orders passed by the assessing authority as above, further observed that while declaring the transaction value as per the invoice price the assessee had not included even the value of the blank CDs. He had also taken the view that transaction value cannot be accepted since an adjustment according to Rule 4(2)(c) has to be made. 8.It is contended on behalf of the appellant that there was no justificatio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le 4(2), available in the case of the appellant and therefore there is no justification in rejecting the transaction value declared by them. Reliance was also placed by the learned Counsel on a decision of this Tribunal in Tata Consultancy Services v. Collector of Customs, Bombay - 2000 (116) E.L.T. 213. Learned Departmental Representative, on the other hand, would contend that since the import with which we are concerned in this appeal were effected after Rule 10A was introduced in the Customs Valuation (Determination of Price of Imported Goods) Rules, 1988, the abovecited decision may not have direct application in the present case. According to the Departmental Representative in view of Rule 10A, it is open to the customs authorities to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as a condition of the sale of the goods being valued, to the extent that such royalties and fees are not included in the price actually paid or payable". The original and Appellate authorities had rejected the claim for deduction of royalty paid on the sale of its CDs in India on the ground that it is not a post importation expense. In the case of the appellant the royalty is payable only to World Media India Ltd. for the CDs sold in India and to WEA International Inc. USA for the right granted towards World Media India Ltd. to sell or manufacture and their performance under the control of WEA International Inc. USA. The appellant is the buyer of the imported goods. Royalty paid in the present case cannot have any effect on the assessable ..... X X X X Extracts X X X X X X X X Extracts X X X X
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