Assessable value of imports includes vessel detention charges treated as pre-landing costs; duty notice was also held timely and valid.

A show cause notice for differential duty was held to be within six months of provisional assessment and not defective because it contained the relevant particulars. Charges paid for detention of the vessel beyond the contracted period were treated as pre-landing charges and included in the assessable value of the imported goods; the precedent concerning Port Trust wharfage or demurrage charges was held inapplicable on these facts. The demand was therefore sustained.

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Issues: (i) Whether the show cause notice demanding differential duty was time-barred and defective; (ii) whether demurrage charges paid for detention of the vessel were includible in the assessable value of the imported goods.

Issue (i): Whether the show cause notice demanding differential duty was time-barred and defective.

Analysis: The provisional assessment was made on 14-3-1989, the final assessment on 31-5-1989, and the notice was issued on 1-9-1989. The notice was therefore within six months from the provisional assessment. The notice also contained the relevant particulars and could not be treated as defective.

Conclusion: The notice was within time and was not invalid for want of particulars.

Issue (ii): Whether demurrage charges paid for detention of the vessel were includible in the assessable value of the imported goods.

Analysis: The charges in question were not wharfage or demurrage charges paid to the Port Trust, but charges for detention of the vessel beyond the contracted period. Such charges were treated as pre-landing charges and formed part of the assessable value. The cited precedent dealing with Port Trust charges was held inapplicable on these facts.

Conclusion: Demurrage charges for detention of the vessel were includible in the assessable value.

Final Conclusion: The challenge to the demand failed, and the order confirming inclusion of the demurrage-related charges in assessable value was sustained.

Ratio Decidendi: Charges incurred for detention of the vessel before landing are part of the assessable value, whereas charges of a different character paid to a Port Trust do not govern such inclusion.

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