Assessable value excludes statutory testing fee paid only for Maharashtra sales and not part of the ordinary sale price.

Testing fee charged by State authorities for mandatory inspection under the Maharashtra Weights & Measures law was not includible in assessable value because it applied only to sales within Maharashtra, while the same goods were sold elsewhere without any such fee. The testing was in addition to the manufacturer's own testing for completion of manufacture and was not shown to form part of the normal price or ordinary manufacturing cost across all sales. A statutory fee incurred only for sale in a particular State, and not embedded in the ordinary cost or price of all transactions, is excluded from assessable value.

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Issues: Whether the testing fee charged by State Government authorities for inspection under the Weights & Measures law in Maharashtra formed part of the assessable value of the goods.

Analysis: The fee was payable only for sales in Maharashtra, where statutory inspection was required before sale. The same goods were sold outside Maharashtra without such testing, and no testing fee was paid or recovered in those cases. The testing was over and above the manufacturer's own testing for completion of manufacture and was not shown to be part of the normal price or normal manufacturing cost of all sales.

Conclusion: The testing fee did not form part of the normal price of the goods and could not be included in the assessable value. The issue was decided in favour of the assessee.

Ratio Decidendi: A statutory fee incurred only for sale in a particular State, and not forming part of the ordinary cost or price of all sales, is not includible in assessable value.

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