9911796707
TMI Blog2015 (2) TMI 1087X X X X Extracts X X X X X X X X Extracts X X X X ..... view that 10 per cent of the value of the goods should be added as the additional consideration for drawings and designs, as supply of drawings and designs amounts to additional consideration and their value has to be added to the value of the goods. It is on this basis that the Commissioner by the impugned order dated 31/12/2012 has confirmed duty demand of Rs. 2,60,09,115/- for the period from October, 2004 to July, 2011 along with interest on it under section 11AB and has imposed the penalty of equal amount on them under section 11AC. 2. Against this order of the Commissioner, this appeal has been filed. 3. Heard both sides and perused the records. 4. Sh. Ashutosh Upadhyay, Advocate, ld. Counsel for the appellant, pleads that the goo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d designs, the appellant had prepared the drawings and designs. 6. Sh. Ashutosh Upadhyay cited the judgment of Tribunal in the case of CCE Chennai Vs. Luna Agro Industries Pvt. Ltd. 2009 (242) ELT 130 wherein it was held that the cost of drawings and designs supplied by the customer is not additional consideration and is not includible in the assessable value. He also stated that in any case, if the value of the drawings and designs is held to be includible in the assessable value of the goods, it should be taken as 0.1 per cent of the value of the goods as certified by chartered engineer and not 10% of the value of the goods which is totally arbitrary. 7. We have considered the submissions from both the sides and perused the records. 8. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ds manufactured for a particular customer, the price of the goods supplied to other customers cannot be applied. In these circumstances, we are of the view that in the cases where the goods were manufactured by using the drawings supplied by the customers, the value of the drawings would have to be included in the assessable value of the goods. However, in this regard, the Commissioner has adopted value of the drawing as 10 per cent of the value and the goods for which he has not given any justification. On the other hand, the appellants plea is that in the cases where the drawings and designs have been supplied by the customer, their cost is 0.1% of the value of the goods and in this regard, they rely upon the Chartered Engineers Certifi ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
