CE - Valuation - includibility of cost of transportation - Supreme Court rejects Revenue Appeal
THE issue before the Supreme Court was the includibility of the cost of transportation charges from the factory gate to the depot in the transaction value of the goods.
The Supreme Court observed, "While allowing the appeal of the respondent herein, the Tribunal has arrived at a categorical finding that the respondent is not responsible to pay the cost of transport from the place of removal to the place of delivery i.e. from the factory gate to the depot separately. In terms of Rule 5 of the Central Excise Valuation (Determination of price of Excisable Goods) Rules, 2000, such a cost of transport which is also separately shown, is not includable in the valuation for the purpose of excise duty."
The Supreme Court did not find any error in the judgment of the Tribunal and dismissed the Revenue appeal.