2001 (10) TMI 733

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..... on some fabrics that it processed, for the reason that the job charges recovered from the customers were higher than the charges that it declared to the department and included in their assessable value. The Commissioner has also found that the appellant ought to have paid duty on another consignment of fabric that is processed under Heading 5801.32 and not under Heading 5406.10 of the Tariff which was applicable to the man-made fabrics. 3. We are not able to accept the first submission of the representative of the appellant with regard to the first allegation of non- inclusion of the correct job charges. This is that, although the bills issued to the person who supplied the gray fabrics indicated a particular amount as the job charges ( .....

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..... f the consensus arrived at during the discussions between the Central Excise authorities and the processors representative, which is enclosed as Annexure A . The trade notice indicate 4.2% of the value of the grey fabrics includible in the account. It stands to reason that in determining the assessable value of such goods, the cost of such elements, where the actual figures are available, the question of resorting to such notional or average figure does not arise. If the appellant had furnished with supporting evidence details of charges incurred on various counts, the Commissioner was required to consider them and not to accept them in the absence of good reasons. The representative of the appellant indicates that these documents in suppo .....

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..... the element of his profit, and that, unless the department is able to show that this element is not included, it is not permissible to make a separate addition on this account. This argument is reasonable, and in accordance with the normal commercial practice. It has been accepted by the decision of the tribunal in CCE v. Special Prints Ltd. - 1997 (95) E.L.T. 664. There was therefore no justification for making a separate addition towards profit. 7. We therefore allow these appeals and set aside the impugned order. The Commissioner shall determine both these issues afresh after considering, with regard to the first issue, the submissions (supported by evidence) that the appellant may make before him and to the second issue, the report o .....

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