2023 (7) TMI 1015 - SCH - Central Excise

Valuation of goods - customised motor vehicle parts sold to various classes of buyers i.e. industrial customers as well as industrial and another domestic customers including export sales - Extended period of limitation - HELD THAT - Having heard learned counsel for the assessee who stressed upon the applicability of Rules 9 and 11 of the Central Excise Valuation Rules, as they existed at the relevant time, and sought to urge that the customs valuation rules were inapplicable. This court is satisfied that the concurrent findings with respect to the valuation are correct, and do not call for interference. Appeal dismissed.

Summary

Issues involved: Valuation of goods under Section 4(1) of Central Excise Act

The appellant, an assessee, raised a question of law regarding the valuation of customised motor vehicle parts sold to various classes of buyers, including industrial customers, domestic customers, and export sales. The Order-in-Original accepted the assessee's contentions on the inapplicability of the extended period of limitation but confirmed show cause notices based on the finding that valuation under Section 4(1) involved adding the differential/discounted price at which goods were sold to a related party. The assessee's argument that valuation should be based on export sales to another party was rejected.

The appellant contended that Rules 9 and 11 of the Central Excise Valuation Rules, as they existed at the relevant time, should apply, and sought to establish that customs valuation rules were not applicable. The court, after hearing the appellant's counsel, upheld the concurrent findings on valuation, stating that they were correct and did not warrant interference.

The appeal was dismissed, and any pending applications were disposed of accordingly.