2003 (11) TMI 423 - AT - Central Excise

Summary

Issues:
Whether the value of Dish Antenna is to be added for arriving at the assessable value of Relay Direct Reception sets supplied by the appellants to Director General, Doordarshan.

Analysis:
The issue in these appeals is centered around determining whether the Dish Antenna should be included in the assessable value of the Relay Direct Reception sets supplied by the appellants. The assessee argued that the dish antenna is not an integral part of the relay direct reception set as they only manufactured the Head End Unit or Indoor Unit with the dish antenna as a bought-out item. However, the Department contended that the dish antenna is indeed an integral part of the set, as it was cleared from the appellants' factory along with the head end unit and indoor units, based on the order placed for the relay direct reception set.

The original authority, after considering various components like the head end unit, indoor unit, demodulator units, purchase orders, and invoices, concluded that the dish antenna is an integral part of the relay direct reception set supplied by the appellants. The Commissioner (Appeals) upheld this view, citing a previous Tribunal decision that bought-out items supplied with excisable goods are essential parts that enrich the value of the goods. The Commissioner held that the dish antenna is an integral part of the entire system. The appellant failed to provide any material to support their contention that the dish antenna is not integral. Additionally, the argument that the relay direct reception set is an immovable article and not excisable goods was raised for the first time before the Tribunal, which could not be considered as it was not presented before the lower authorities.

Ultimately, the Tribunal found no merit in the appeals and dismissed them, upholding the decision that the dish antenna is indeed an integral part of the relay direct reception set supplied by the appellants.