TIOL-DDT 730 · the untouched capture
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<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN" "http://www.w3.org/TR/html4/loose.dtd"> <html> <head> <title>Untitled Document</title> <meta http-equiv="Content-Type" content="text/html; charset=iso-8859-1"> </head> <body> <p align="justify"><font size="3"><strong><font color="#663399" face="Verdana, Arial, Helvetica, sans-serif">TIOL-DDT 730 </font></strong><font face="Verdana, Arial, Helvetica, sans-serif"><strong></strong></font></font><font size="2"><font face="Verdana, Arial, Helvetica, sans-serif"><strong><br> 30.10.2007 <br> Tuesday </strong></font></font></p> <p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Intellectual Property Rights (Imported Goods) Enforcement Rules, 2007 - CBEC instructions </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Recently, The Customs department in India has been entrusted with the job of enforcing IPR. Is the Indian Customs ready for this? The Board Circular states, It may be appreciated that systematic enforcement of IPRs is new to Customs. Board has now issued detailed instructions on how to go about it. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Rules provide for </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1. the filing of a notice by the right holder; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2. registration of said notice by the Customs; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3. a time limit for right holders to join proceedings; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">4. a single point for registration of the notice filed by the right holder; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">5. adequate protection to the rightful importer; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">6. adequate protection to the Customs for bonafide act; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">7. suo-moto action by the Customs in specified circumstances; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">8. disposal of the confiscated goods. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">9. no action against goods of non commercial nature contained in personal baggage or sent in small consignments intended for personal use of the importer. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">The Rules provide that notice would be given by the right holders in the format prescribed in the Annexure to the Rules. However, as a trade facilitation measure enabling right holders to file the notice electronically, a user friendly web- enabled application form is being devised. The right holders would be required to log into <a href="http://www.icegate.gov.in">http://www.icegate.gov.in </a></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Thereafter, they can choose the Custom House where they wish to record their notice, from among the ports of importation of the suspected infringing goods. Option has been provided to separately register different IPR's viz., Copyrights, Trade Marks, Patents, Designs and Geographical Indications. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">As regards payment of registration fees, option has been given to the applicants either to use on-line credit card mode of payment or the conventional mode of Demand Drafts, drawn in favour of Commissioner of Customs of the Custom House where they wish to get their notice registered. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">For every separate right, the right holder shall be required to submit a separate notice (application). After completing the formalities on-line, the application can be "submitted" on the website. A Unique Temporary Registration Number (UTRN) will be generated by the System. The System would also prompt the applicant to take a print- out of the application. This printed application form, along with the Demand Draft and physical copies of Bond and indemnity Bond (as prescribed under Rule 5 of the said Rules), would be required to be submitted to the Commissioner of Customs along with samples, models or photographs. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">To begin with, while the web-enabled electronic registration system is being put in place, the field Commissioners are advised to accept the applications in the format as prescribed in the Annexure to the said Rules. However, in order to have a centralized registration , it will be mandatory for all applicants to file applications on-line, once the system is geared up for accepting electronic on-line registration. The trade will be intimated the date of coming into force of the electronic regime. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">It may be noted that though the notice/application for registration may be submitted to the Commissioner of Customs at any of the ports where counterfeit goods are likely to be imported infringing the IPR in respect of any trademark, copyright, patent, design or geographical indication and all formalities associated with the registration are undertaken by that Commissioner, protection will be accorded at all the ports as specified in the notice. Therefore, there is no apparent need for the right holders to make several notices/applications with all the Commissioners of Customs covered under the notice. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">It may be appreciated that systematic enforcement of IPRs is new to Customs. Further, the nature of implementation of IPR regime is different in EDI and non-EDI locations. Besides, RMS has not been implemented in all EDI locations. It may be noted that while national-level targeting of consignments can be handled by RMD, Mumbai on the basis of the information furnished by the applicants, and, under normal circumstances, consignments suspended by the national targets will be sent with appropriate instructions to the officers to handle the suspect consignments, any intelligence driven interdictions on the own initiative of officers cannot be discouraged. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">However, such ex-officio intervention by officers needs to be regulated and exercised with utmost caution, given the fact that the liability for wrong detention in an ex-officio case would rest entirely with the department. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In EDI locations where RMS is not implemented, all the consignments are necessarily assessed before clearance. Therefore, officers in Groups and Sheds at such locations may be sensitized about the IPR registration database so that they can keep a watch on suspect imports. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">For smooth implementation of the IPR regime, it is desirable that an IPR Cell may be constituted in each Custom House. The IPR Cell may be vested with the responsibility of verifying the applications, completing web-enabled registration formalities and making correspondence with the Risk Management Division and other Customs formations. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Further, any import involving suspected infringement of IPRs may have to be invariably handled by the IPR Cell. Any instance of suo-moto interdiction of the import consignments by the Customs, involving possible infringements, should also be referred to such IPR Cell. </font></p> <p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>The job is time - bound and sensitive and hence it is advised that officers of proven calibre may only be posted in the IPR Cells. </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2007/cuscir07_41.htm" target="_blank">Circular No 41/2007-Cus., Dated: October 29, 2007 </a></font></p> <p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Conditions for import of of metallic waste and scrap </strong></font></p> <p align="justify"><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif">DGFT has prescribed the following conditions:- </font></strong></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Shredded Form: Import of metallic waste and scrap in shredded form shall be permitted through all ports of India. Import from Hodaideh, Yemen and Bandar Abbas, Iran will be in shredded form only. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Unshredded, compressed and loose Form: Import of metallic waste, scrap in unshredded compressed and loose form shall be subject to following conditions: - </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">a. Importer shall furnish the following documents to the customs at the time of clearance of goods. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">I) Pre-shipment inspection certificate as per the format in Annexure I to Appendix 5 from any of the Inspection & Certification agencies given in Appendix-5 to the effect that: </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">i) The consignment does not contain any type of arms, ammunition, mines, shells, cartridges, radioactive contaminated or any other explosive material in any form either used or otherwise. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">ii) The imported item (s) is actually a metallic waste/scrap/ seconds/ defective as per the internationally accepted parameters for such a classification. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">II) Copy of the contract between the importer and the exporter stipulating that the consignment does not contain any type of arms, ammunition, mines, shells, cartridges, radioactive contaminated, or any other explosive material in any form either used or otherwise. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">b. Import of scrap would take place only through following designated ports and no exceptions would be allowed even in case of EOUs, SEZs: - </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1.Chennai, 2.Cochin, 3.Ennore, 4.JNPT, 5.Kandla, 6.Mormugao, 7.Mumbai, 8.New Mangalore, 9.Paradip, 10.Tuticorin, 11.Vishakhapatnam, 12.ICD Loni, Ghaziabad, 13.Pipava, 14.Mundra, 15.Kolkata, 16.ICD Ludhiana, 17.ICD Dadri (Greater Noida), 18.ICD Nagpur, 19.ICD Jodhpur, 20.ICD Jaipur, 21.ICD Udaipur, 22.CFS Mulund, 23.ICD Kanpur, 24.ICD Ahmedabad, 25.ICD Pitampur and 26.ICD Malanpur. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=47&filename=notification/dgft/2007/dgft07pn076.htm" target="_blank">DGFT Public Notice No 76 (RE-2007)/2004-2009, Dated: October 26, 2007 . </a></font></p> <p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Guidelines for Conversion of DTA Unit into (EOU)/ EHTP/ (STP)/BTP </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">DGFT has prescribed the following procedure for conversion of Domestic Tariff Area (DTA) Unit into Export Oriented Unit (EOU)/ Electronic Hardware Technology Park (EHTP)/ Software Technology Park (STP)/ Bio-Technology Park (BTP) Unit. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1.Apply to concerned Development Commissioner (DC) in a manner as applicable to new units. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2. After getting approval of the project and obtaining Letter of Permission (LOP) from DC, execute Legal Undertaking (LUT) in prescribed format with DC. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3. Thereafter, apply for private bonded licence to concerned Customs/ Central Excise authority with execution of B-17 Bond. </font></p> <p align="justify"><strong><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif">WHERE ADVANCE AUTHORISATION IS PENDING REDEMPTION </font></strong></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">If the unit is having outstanding export commitment under advance authorization scheme, following procedure before execution of Bond with customs and Central Excise Authority need to be adopted : </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1. Approach concerned Customs & Central Excise Authority and obtain certificate showing physical verification of unutilized material held in stock against all advance authorizations (not yet redeemed) and such raw material as intended to be carried forward to EOU; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2. Approach Regional Authority along with a copy of the following documents: </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">a. LOP/LUT executed with DC, </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">b. Certificate of stock verification obtained from Customs/Central Excise </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">c. LUT with RA as annexed. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">d. Details of imports/exports against all advance authorizations and utilized/ balance materials as per prescribed consumption register. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3. RA will calculate unfulfilled export obligation, as per prevailing norms. In case norms are not fixed, R.A. will take up with Norms Committee for its fixation. Such export performance would only be taken into account, as within valid export obligation period of Advance Authorization ; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">4. R.A. will thereafter communicate "No objection" to DC and Central Excuse Authority with endorsement to applicant unit. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">5. The unit will approach the Customs/Central Excise Authority for execution of B-17 bond ; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">6. Raw material obtained under Advance Authorization, which is having valid export obligation period can only be carried over; </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">7. RA would accordingly process case for discharge of obligation and redemption of bond LUT executed against all the advance authorizations issued already. </font></p> <p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>EPCG Authorization: </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">In case there is an outstanding export commitment under EPCG Scheme, it will be added to future export obligation by adding value of capital goods to the imported capital goods value of the EOU and all previous obligations under EPCG would cease to exist on such inclusion. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=47&filename=notification/dgft/2007/dgft07pn074.htm" target="_blank">DGFT Public Notice No 74 (RE-2007)/2004-2009, Dated: October 24, 2007 . </a></font></p> <p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Vishesh Krishi Upaj Yojana benefits for export of Cashew, Pepper, Chilly, Cardamom and Sesamum Seeds for exports from 1.4.2004 till 31.8.2004. </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">After giving due consideration to the representations from the exporting community, DGFT has decided that exports of Cashew, Cashew Nuts & Kernel, Cashew nut, roasted, salted or roasted and salted; Pepper & Chilly; Cardamoms, as well as Sesamum Seeds shall be entitled for Vishesh Krishi Upaj Yojana benefits in respect of exports made between 1.4.2004 to 31.8.2004. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Further it has been decided that the last date for filing of applications for grant of VKUY benefits for above export products for exports during the period 1.4.2004 till 31.8.2004 shall be till 31.3.2008. In case the applications have already been filed and rejected by RAs, the same may be re-opened by RAs and considered for grant of benefits in light of the above decision. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=46&filename=notification/dgft/2007/dgft07cir017.htm" target="_blank">DGFT Policy Circular No 17 (RE-2007)/2004-2009 Dated: October 26, 2007 </a></font></p> <p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>FMS - FPS and HTPEPS - procedure to apply only to EDI ports </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Wonder what these are? FOCUS MARKET SCHEME (FMS) FOCUS PRODUCT SCHEME (FPS) HIGH-TECH PRODUCTS EXPORT PROMOTION SCHEME (HTPEPS) </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">DGFT has amended the HOP to stipulate that the procedure prescribed for these schemes will apply only to EDI enabled ports. In case of Non Edi ports, </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">1. separate application shall be filed consolidating all shipments for each port. Such application for non-EDI shipments shall not be treated as supplementary application even if periodicity is repeated </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">2.</font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> the port of registration shall be the port of exports. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">3. the facility of splits shall not be allowed, after issue of scrip</font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> for the above schemes. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=47&filename=notification/dgft/2007/dgft07pn073.htm" target="_blank">DGFT Public Notice No 73 (RE-2007)/2004-2009, Dated: October 24, 2007 .</a> </font></p> <p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Anti Dumping Duty on vitrified and porcelain tiles </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">Anti dumping duty was imposed on import of vitrified and porcelain tiles, other than vitrified industrial tiles originating in, or exported from, the People's Republic of China and United Arab Emirates by Notification No. 73/2003-Customs, dated the 1st May, 2003. Now the anti dumping duty will not be imposed on the imports into India of the subject goods, produced by M/s Foshan Shanshui Huiwanjia Ceramic Company Limited and M/s Foshan Summit Ceramic Co. Limited, related companies of M/s Guangdong Newpearl Ceramic Group Company Limited, and exported by M/s Foshan Newpearl Trade Co. Ltd., Foshan, People's Republic of China. Earlier by Notification No. 96/2005 dated 16 th November 2005, provisional assessment was ordered for these imports. This notification having become redundant is now rescinded. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=23&filename=notification/custom/2007/ctariff07_110.htm" target="_blank">Notification No. 110</a> <strong>and</strong> <a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=23&filename=notification/custom/2007/ctariff07_111.htm" target="_blank">111/2007-Cus., Dated: October 26, 2007 </a></font></p> <p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Exchange rates announced for imported goods and export goods 2-in-1 Notification </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">All these days they used to issue two notifications- one for export and another for import. Now the notifications are clubbed together, of course with different rates for export and import. A good step indeed! </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=24&filename=notification/custom/2007/cnt07_110.htm" target="_blank">Notification Nos. 110/2007 Cus., (N.T.), Dated October 26, 2007 </a></font></p> <p align="center"><font color="#006600" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>From our Legal Corner - Tomorrow's cases </strong></font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><b><b><img src="http://www.taxindiaonline.com/RC2/image/stories/ddt_31.gif" alt="Legal Corner Icon" width="191" height="160" hspace="5" border="0" align="left"></b></b></b></font></b></font></strong></font></b></font></strong></font></b></font></strong></font></b></font></strong></font></b></font></strong></font></b></font></strong></font></b></font></strong></font></b></font></strong></font></p> <p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Income Tax </strong></font></p> <p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Madras HC rules State Industrial Promotion Corpn is not authority constituted under any law for improvement of cities or villages - not eligible for exemption under Sec 10(20A) </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">It is an admitted case that the assessee is not an authority constituted in India by or under any law enacted either for the purpose of dealing with and satisfying the need for housing accommodation or for the purpose of planning, development or improvement of cities, towns and villages, or for both. </font></p> <p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Jurisdiction to make assessment can be assumed only on satisfaction of condition as prescribed under the law - it cannot be conferred with consent of parties : ITAT Third Member </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">HERE is a confused AO. He is not clear of the status of the assessee, nor his income. He changes the notice and midway through the proceedings, he changed the status of the assessee from individual to HUF! And the members of the Tribunal had a difference! </font></p> <p align="justify"><font color="#FF0000" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Central Excise </strong></font></p> <p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>Difference between 'consumables' and 'raw materials' - Tribunal had not considered dominant ingredient test in regard to cost variation - matter remanded : Supreme Court </strong></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif">APPELLANT-COMPANY is 100% EOU who claimed partial exemption from duty in terms of Notification NO.8/97-CE dated 1.3.1997 in respect of goods sold in Domestic Tariff Area (in short 'DTA'), which stipulated conditions that the goods have been manufactured wholly from the raw materials produced or manufactured in India. According to the company it procured the raw materials from domestic manufacturers in India and also imported (1) Carboxymethyle Cellulose which is used for sizing of single yarn to give strength to the yarn during weaving after which the woven towels are washed to remove completely the sizing materials and (2) Ultra fresh N.M. which is used for anti bacteria and anti fungus treatment of terry towels. The Commissioner (Appeals) had confirmed the demand of duty on the ground that the sizing materials imported by the company is raw material and as imported raw material has been used, the benefit of Notification No.8/97-CE is not available. </font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong><font color="#663399">Valuation of Physician Samples - if Board's Circular dt. 25.04.2005 should be applied prospectively, how can Circular dt. 1.7.02 be applied retrospectively for the period from July 2000 - in view of contradiction, matter referred to Larger Bench </font></strong></font></p> <p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>REAMS </strong> </font><font size="2" face="Verdana, Arial, Helvetica, sans-serif">have been spent on analyzing the proper mode of Valuation of Physician Samples, both before & after P&P medicaments were notified under section 4A of the CEA'44 but the mystery ceases to be solved. Another dimension to the entire issue has now been suggested by the WZB of the Tribunal leading to a plea to the President to constitute a Larger Bench to settle the issue. </font></p> <p align="justify"><font color="#663399" size="2" face="Verdana, Arial, Helvetica, sans-serif"><strong>See our columns tomorrow for the judgements </strong></font></p> <p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Until tomorrow with more DDT </font></p> <p align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Have a nice Day. </font></p> <div align="justify"><font color="#FF6666" size="2" face="Verdana, Arial, Helvetica, sans-serif">Mail your comments to</font><font size="2" face="Verdana, Arial, Helvetica, sans-serif"> <a href="mailto:vijaywrite@taxindiaonline.com">vijaywrite@taxindiaonline.com </a></font> </div> </body> </html>