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TMI Blog2016 (11) TMI 822X X X X Extracts X X X X X X X X Extracts X X X X ..... appeal allowed. - APPEAL NO. E/53/2010 - Final Order No. 61496/2016 - Dated:- 4-10-2016 - Mr. Ashok Jindal, Member (Judicial) And Mr. Devender Singh, Member (Technical) Sh. Manish Gaur, Advocates for the Appellant Sh. G.M. Sharma, A.R. for the Respondent Per : Ashok Jindal The short issue covered in the matter is whether the advertisement cost incurred by dealer and promotional materials sold to the dealers are assessable value or not. 2. Heard the Ld. Counsel and we have gone through the order of this tribunal in appellant's own case reported in 2016-TIOL-2217 CESTAT-CHD. As the issue involved in the matter has already been dealt by this tribunal in appellant's own case wherein this Tribunal observed a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an arrangement cannot be considered as an option, Such expenses by the dealers would be payment basically on behalf of the manufacturer and requires to be added to the assessable value. 10. In the present case, relating to M/s Maruti Suzuki India Limited, we find it has been claimed that the advertisement are not done by all the dealers; and even in respect of dealers undertaking such advertisements, the extent of expenses does not get linked to or proportionate to number of vehicles sold by them; it was claimed that the dealers have incurred expenses varying from 0.0070% to 0.233% of total sale value. In view of the above, it appears that these advertisements cannot be held to have been carried out by the buyers on behalf of the manuf ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ducts within the Territory and to secure and maintain the confidence of Customers in the products and to enhance the reputation of the company and the products. 29. Advertising The dealer shall advertise and/or promote products. Parts and service facilities in detailed manner as to secure adequate and effective publicity to the satisfaction of the company at its own expense. 29.1 The dealer shall not engage in any form of sales promotion or publicity or release any advertisement without the prior, written approval of the company. 29.2 Undesirable Advertising The dealer will not advertise or promote the products or services in such a way as may annoy cause to or detract from the company or the products or services or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ptable. Such cancellation cannot lead to situation enforcing purchase of promotional materials for the past. The facts of the case mentioned in M/S Kinetic Engineering Ltd. Vs. CCE, Aurangabad reported in 1999 (107) ELT 150 (T) and in the case of M/S Escorts Limited reported in 1998 (98) ELT 206 (T) are applicable to the present facts of the case and impugned orders against the appellants/assessee are not sustainable. 11.3 In the case of M/s Swaraj Mazda Limited (Excise Appeal no. 875/2008), the appellant has claimed that there is no connection of sale of promotion material with the sale of finished goods, if the particular dealer was not interested in buying publicity material, the appellant never enforce the same on the respective de ..... X X X X Extracts X X X X X X X X Extracts X X X X
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