1976 (9) TMI 45 - CGOVT - Central Excise

Valuation - When goods are substantially sold to related persons and partly to independent buyers

Summary

The Government of India considered a revision application regarding the assessable value of fan belts and Vee belts sold by a company through wholesale dealers. The Government noted that 91% of sales were through a related wholesale dealer and 9% were to independent dealers. Referring to a Supreme Court judgment, the Government determined that the assessable value should be based on sales to independent dealers. Consequently, the Government set aside the order-in-appeal and allowed the revision application.