9911796707
TMI Blog2016 (9) TMI 171X X X X Extracts X X X X X X X X Extracts X X X X ..... C/CDM-20/05 - A/89515/2016-WZB/CB - Dated:- 26-8-2016 - Shri Ramesh Nair, Member (Judicial) And Shri Raju, Member (Technical) For the Appellant : None For the Respondent : Shri D.K. Sinha, Asstt. Commissioner (AR) ORDER Per Raju This appeal has been filed by the appellant, M/s Varian India Pvt. Ltd., against addition of commission as specified in the price list in terms of Rule 9(1)(a)(i) of the Customs Valuation Rules, 1988. The appellants are agent of the supplier and are having agreement for Distribution of foreign supplier goods. The appellant get commissions on whatever products are imported from the supplier. The said commission is not included in the price list. In this scheme, the supplier has a price list, h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s products to the appellant since the products carry with it the warranty and guarantee for specified time period. However when the spares and parts are imported free of costs for the replacement the same are assessed to duty and are being cleared b the appellant against the payment of the assessed duty. It is pertinent here to mention that the duty is assessed by the customs on the said free imports at the discounted value thereof declared in the import documents without loading any value. The supplier has a right to change the schedule of discount or rate of commission in schedule. It was argued that commission is earned when the appellant book order on behalf of the supplier, but the discount comes into bill when the appellant imported ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gets commission on whatever product imported from the supplier. This commission is not included in the price list. I observe from the record that as per clause 5 of the Agreement (Sale and Payment) price list are net to supplier. Supplier shall have the right to change the schedule of discount or rate of commission in schedule whatever being some time called a discount is nothing but the commission that included in the price and special treatment is given to appellant being 100% subsidiary of the supplier. In terms of Rule 9(1)(a)(i) of the Customs Valuation Rules, 1988, the commission and brokerage except buying commission will; be added to the invoice value. In this case whatever called discount is nothing but commission not availab ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
