9911796707
TMI Blog2016 (1) TMI 292X X X X Extracts X X X X X X X X Extracts X X X X ..... cating authority. 2. Brief facts of the case are that the appellant is an SSI unit engaged in the manufacture and sale of machines, mechanical appliances and parts thereof, i.e light weight construction equipments and systems falling under CTH No. 8479 of the Schedule to the CETA, 1985. During the course of audit, the audit party raised objections regarding the amounts recovered by the appellant under the heading start up training and commissioning charges from the customers, who purchased their systems. As per the audit, these charges are mentioned in the contracts and shown separately in their invoices are required to be added in the assessable value and the duty should be paid accordingly. On the other hand, the stand of the appellant w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ubmitted that the charges towards training provided to the customer's staff are not includable in the assessable value as the activity of training has no nexus with the activity of manufacturing, sale or marketing of the product and it does not enrich the value of their products. He further submitted that the Board clarified the concept of transaction value vide Circular cited supra clarifying that any charges in connection with the manufacture, marketing, selling of excisable goods shall form part of the assessable value. In support of his contention, the learned Counsel cited the following judgements: a) PSI Data Systems Ltd., Vs. CCE-1997 (89) ELT 3 (SC) b) Thermax Ltd., vs. CCE - 1998 (99) ELT 481 (SC) c) Brahmos Aerospace Pvt. L ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s at liberty to get their staff trained from the appellant or not. The appellant produced both copies of invoices where charges on account of training are recovered by the appellant and also invoices where it is not so recovered. The charges on account of training the customer's staff is separately shown in the invoices wherever charged and recovered. The arguments of the learned Counsel for the appellant that the activity of training has no nexus with the activity of manufacturing, sale or marketing of the product and the same does not enrich the product has force. The Hon'ble Apex Court in the case of PSI Data Systems Ltd. (supra) held that the charges for installation of computers and training of customer's personnel to opera ..... X X X X Extracts X X X X X X X X Extracts X X X X
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