9911796707
TMI Blog2003 (12) TMI 231X X X X Extracts X X X X X X X X Extracts X X X X ..... wards drawings and documents for evaporation plant supplied by the assessee to it. In the order impugned in the appeal, the Commissioner (Appeals) has confirmed the finding of the Additional Commissioner that these charges were includible in the value of the goods demanded the duty consequently payable and imposed penalty on the assessee and its two employees. 2.We have heard both sides. 3.Three orders were placed by the buyer on 8-9-1999 to the assessee. The first one totalling value of Rs. 4,19,90,000/- was for design, manufacturing, testing and supply of 165 tons per day caustic evaporation plant. It is not disputed that the duty has been paid on this value. The order placed for erection and commissioning of the plant also is not in di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is the "Caustic Evaporation Plant". Hon'ble Tribunal in the case of Galliam Equipments - 1998 (98) E.L.T. 96 (Trib.) which has been referred by the adjudicating authority, held that "where the drawing and designing charges were connected with the production of tailor made items, the charges were includible in the assessable value". It was also held that "consultancy charges incurred for layout design includible in the assessable value". It is not a case where a fully manufactured item has been removed from the factory and the question is valuation of the fully manufactured item at the factory gate. This is not the case here. What goods were removed from the appellant factory and whether these were complete plant in CKD or whether these we ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is clearly in department those not for manufacture of each component it for erecting the plant at site. On examination of the items which constitute this contract supports his view. They comprise the following. Drawings and Documents : The Drawings and Documents should consist of the following but not limited to : 1. Plot plan 2. Process description 3. Process flow diagram 4. Piping and lust. Diagram 5. Process data sheets 6. Mechanical data sheets ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... concrete structural and foundation drawings/design data 28. All drawings/details required for statutory approvals inside the battery limits 29. Electrical and instrument cable schedule and junction box details 6.According to us none of these is relatable to any items prior to or in the course of manufacture. Each of these item refers to plant as it could exist at site. 7.There is however one exception and that is item 22. This refers to equipment fabrication drawing and therefore on the face of it suggest that the drawings in question were not fabrication of the equipment which ultimately form part of the plant. Counsel for the appellant is not able to say with any ..... X X X X Extracts X X X X X X X X Extracts X X X X
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