Difference between the depot price and the factory gate price - Practice regarding determination of assessable value - Information regarding - Central Excise - 15/25/87-CX.1

Difference between the depot price and the factory gate price - Practice regarding determination of assessable value - Information regarding F. No. 15/25/87-CX.1 Dated 10-3-1987 Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : Difference between the depot price and the factory gate price - Practice regarding determination of assessable value - Information regarding. I am directed to say that in certain cases the bulk of the sales are effected from the depots and only a small portion of the total sales are effected at the factory gate. It is desired to know the practice prevailing as to the determination of assessable value in such cases, i.e., whether it is the factory gate price or the depot price which is being taken as the basis for arriving at the assessable value under section 4 of the Central Excises and Salt Act, 1944. It also appears that in some cases the matter is under dispute and pending with the Court (including the Supreme Court), CEGAT or the Departmental authorities. It is requested that the information as per particulars below may kindly be furnished for all such cases in respect of your Collectorate as early as possible. 1. Name of the party : 2. Commodity involved : 3. Volume of sale : (a) at the factory gate : (b) at the depot (s) : (Please give in terms of approximate percentage of the total annual sale of the manufacturer) 4. Extent by which the depot price (whole sale) is more than the factory gate price (wholesale) : (Please give in terms of percentage of factory gate price) 5. Current practice of determining assessable value i.e., whether it is based on factory gate price or depot price : 6. Is it under dispute or on account of any stay order. Please give particulars of the Court case, etc. alongwith the authority with whom pending. : 7. Present position of the dispute : 8. Estimated revenue implications if the assessable value had been based on the depot price rather than the factory gate price : 9. Remarks, if any. :