2021 (7) TMI 1048 - SCH - Customs

Valuation of imported goods - rejection of declared value - purchase of urea by the Appellant from the Government of India on High Sea Sale - inclusion of miscellaneous charges of ₹ 17/- per MT paid by the Government of India to STE, in assessable value - inclusion of notional 2% High Sea Sale Commission in assessable value - invocation of extended period of limitation - confiscation - penalty. HELD THAT - The order of the Custom, Excise and Service Tax Appellate Tribunal in M/S. INDIAN FARMERS FERTILIZERS CO-OPERATIVE LIMITED (IFFCO) VERSUS PRINCIPAL COMMISSIONER OF CUSTOMS, JAMNAGAR 2020 (2) TMI 1134 - CESTAT AHMEDABAD is upheld - it was held in the case that 2% Notional High Sea Sale Commission could not have been added to the assessable value - neither the amount of ₹ 17/- per MT paid by the Government of India to the STE could have been added to the assessable value on which the Appellant was required to pay duty, nor 2% Notional High Seal Sale could have been added in the assessable value. The confirmation of demand under these two heads, therefore, cannot be sustained. The aforesaid order need not be interfered - Appeal dismissed.

Summary

The Supreme Court of India upheld the order of the Custom, Excise and Service Tax Appellate Tribunal dated 24 February 2020 in Customs Appeal No. 11356 of 2016-DB. The appeal was dismissed, and any pending application was disposed of.