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TMI Blog2017 (12) TMI 543X X X X Extracts X X X X X X X X Extracts X X X X ..... the date of clearance. It is common knowledge that on the date of clearance from the factory only those depot invoice prices will be available to the assessee which have been issued prior to that date and it is four to consider the value on the basis of such invoices. The basis on which the demand has been raised by demanding differential duty is not legally sustainable. Duty already stands paid on the highest transaction value determinable for all depots as on the date of clearance from factory. This satisfies the mandate of Sec 4(1) (b) read with Rule 7 ibid - appeal allowed - decided in favor of appellant. - E/52003/2016-EX(DB) - A/57444/2017-EX[DB] - Dated:- 20-10-2017 - Dr. Satish Chandra, President And Mr. V. Padmanabhan, Membe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he department demanded duty on the value of clearance from depot. Department demanded the difference by considering three invoices on sample basis and observed that during the period 2011-12 there was an average difference in value of ₹ 440 per month between the price at which goods were cleared from the factory and the depot price. Accordingly, differential duty was demanded for the period 2009-10, 2012-13. Aggrieved by the impugned order the present appeal has been filed. 5. With the above background we heard Shri Amit Jain, Ld. Counsel for the appellant as well as Shri R.K. Mishra Ld. DR for the revenue. 6. Shri Amit Jain, Ld. Counsel for the appellant submitted that in respect of valuation of goods for clearance made to depo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... RULE 7. Where the excisable goods are not sold by the assessee at the time and place of removal but are transferred to a depot, premises of a consignment agent or any other place or premises (hereinafter referred to as such other place ) from where the excisable goods are to be sold after their clearance from the place of removal and where the assessee and the buyer of the said goods are not related and the price is the sole consideration for the sale, the value shall be the normal transaction value of such goods sold from such other place at or about the same time and, where such goods are not sold at or about the same time, at the time nearest to the time of removal of goods under assessment. As per the above provisions, the dut ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al observed as under:- 7. Out of the total demand as per show-cause notice amounting to ₹ 37,22,585/- the appellant is seriously disputing an amount of ₹ 14,61,527/- which is attributable to the invoices (as per show-cause notice) where the date of depot invoices taken by the Department is subsequent to the date of clearances. In terms of the statutory provisions for determining of assessable value prevailing at the relevant time, in cases where goods are cleared on payment of duty from the factory to the depot for subsequent sale to wholesale dealers, the assessable value is to be reckoned on the basis of the price prevalent at the depot at the time nearest to the time of removal of goods from the factory. In such cases, t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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