1987 (11) TMI 230

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..... K.L. Rekhi]. - The dispute in this appeal is on the valuation of a second hand Computer and its 12 peripherals imported by the appellants. The appellants declared their value at Rs. 3,10,270. The adjudicating Collector has assessed the value at Rs. 15,06,217 and, in addition, on the charge of mis-declaration and short-fall in the import licence value, imposed a fine of Rupees one lakh in lieu .....

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..... ollector has based his assessment on the value of a new Computer Model 4331 - 11 of 1982 manufacture, with peripherals, software and on-site maintenance, at $ 92,420, as given in the AT T Teletype Corporation Data Sources, Third Quarter, 1984 Edition and given 10% annual depreciation for 3 years (1982 to 1985) therefrom. The appellants point out the dis-similarities between the two systems. Ther .....

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..... ces was inclusive of the cost of software and on-site maintenance. They had not imported any software nor their price had an In-built provision for on-site maintenance. Further, they plead, the rate of annual depreciation adopted by the Collector - 10% - was very low when the Income-tax Department allowed depreciation of 33-1/3% for Computers. 4. The appellants plead that the method of valuing s .....

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..... ations for Model 4331-1, IBM as under :- Current IBM list price for new ones Current market price for use ones. 1. With 8 items of peripherals $ 79,524 $8,000 2. With 12 items of peripherals. $ 86,309 $12,000 5. We find force in the appellants pleading. The learned representative of the department, when confr .....

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..... mount of freight and insurance will be added to the base price as usual. 7. We find the appellants offer quite reasonable in the circumstances and accept it. The import licence (CCP) produced by the appellants had a value limit of Rs. 4,65,100/-. No foreign exchange remittance was involved and since no case of deliberate under-valuation of the goods is made out, confiscation of the goods and im .....

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