Valuation of job-worked goods supports no stay where goods are returned to the principal manufacturer.

A prima facie view accepted that valuation of job-worked goods could be governed by the principles applied in prior Tribunal decisions where the goods were not cleared or sold from the job worker's premises but were returned to the principal manufacturer. On that basis, the Commissioner (Appeals)' application of Rule 10A(iii) instead of Rule 10A(ii) was not found to disclose any infirmity requiring interim interference. The Revenue therefore failed to make out a case for stay, and the stay applications were rejected.

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Issues: Whether the Revenue had made out a case for stay of the Commissioner (Appeals) order applying Rule 10A(iii) to the valuation of job-worked goods, instead of Rule 10A(ii).

Analysis: The Tribunal noted that, on a prima facie view, the Commissioner (Appeals) had applied the principles laid down in prior Tribunal decisions on valuation of job-worked goods. The goods were not cleared or sold from the job worker's premises but were returned to the principal manufacturer, and on that basis the view taken below was not found to disclose any infirmity warranting interim interference.

Conclusion: No case for stay was made out and the Revenue's stay applications were rejected.

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