Central Excise - Valuation of - Effect of amendment to section 4 vide section 47 of the Finance Act, 1982 - Effective duty payable alone deductible from cum duty price to calculate assessable value - Regarding

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..... y payable alone deductible from cum duty price to calculate assessable value - Regarding Circular 15/89 Dated 19-10-1989 [From F. No. 6/57/86-CX.1(Pt)] Government of India Ministry of Finance (Department of Revenue) Central Board of Excise Customs, New Delhi Subject : Central Excise - Valuation of - Effect of amendment to section 4 vide section 47 of the Finance .....

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..... nce of opinion that existed between the Patna and Calcutta High Courts and according to that decision of the Supreme Court (1985-ECR- 913-SC), notional duty based on tariff rate was deductible from the cum duty price to arrive at the assessable value and not the effective duty payable. 2. To overcome the situations created by different High Courts' decisions, an amendment was made in section 4 b .....

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..... pon the decision of the Supreme Court in the case of Bata India Ltd., in support of their argument that the duty as per tariff rate should be deducted from the cum duty price to arrive at the assessable value. The Delhi High Court considered the contention of M/s. I.T.C. Ltd., and held that in the case of Bata India Ltd. the Supreme Court was not concerned with the effect of the amendment of secti .....

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..... there is no question of deducting notional duty payable from the wholesale price to arrive at the assessable value. If any such practices exist the practice of assessment may be set right in respect of all commodities. Amounts collected in excess of the declared assessable value may be dealt with as per Ministry's Circular Nos. 6/89-CX.1 (F. No. 15C/33/86-CX.1, dated 23-6-1989 and Circular No. 10 .....

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