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TMI Blog2017 (8) TMI 1156X X X X Extracts X X X X X X X X Extracts X X X X ..... panels are used for supplying water tanks by fixing with bolts and nuts. The bolts and nuts are not manufactured by the appellant and their head office procures from the open market. However, the customers place orders for the panels and the appellant makes water tanks and supply the same along with bolts and nuts, which are required for converting the panels into tanks and bring to customer's site. Department was of the view that the value of bought out items which are required for the assemble of water tanks are required to be included in the assessable value for payment of duty, Since the panels manufactured by the appellant as well as the bought out items together form water tanks cleared in CKD condition. Accordingly, show-cause no ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ly moulded panels for water tanks and not water tank as such. The other items required for assembly of the water tanks at the site are bought out items on which no Cenvat/Modvat credits have been taken. However, these bought out items are invoiced and supplied together for convenience of the customers and for assembling at sites. He further submitted that it a settled position of law that bought out items used by the manufacturer for installation are not liable to be included along with the value of the manufactured products. He also relied upon the following decisions in support of his views:- (i) Commissioner of Central Excise, Trichy Vs Neycer India Ltd, reported in 2015 (320) E.L.T. 28 (S.C.); (ii) Commissioner of Central Excise, Mum ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 28 (S.C.). "The Department/Revenue wanted to add the value of Handle assembly, Ball valve assembly, overflow assembly, Syphon assembly, Outlet flange assembly and Flush pipe assembly, while arriving at the valuation of the flushing cisterns manufactured by the respondent. It is an admitted position that the aforesaid fittings are not manufactured by the assessee. It is also an admitted position that the assessee supplied the same to those buyers only who asked for that and in such a situation the assessee buys the aforesaid components from the market and supply to the buyers at their option. In these circumstances, the Tribunal has rightly declined to add the value of the aforesaid components which are not the part of flushing cistern man ..... X X X X Extracts X X X X X X X X Extracts X X X X
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