Transfer of Advance Licence by buyer in favour of seller of goods enabling him to import duty-free raw materials and bring down cost of production/procurement-benefit accrued on this account including in assessable value as per Apex Court judgment in the case of CCE Bhubaneshwar-II Vs. M/s. IFGL Refractories Ltd.
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Transfer of advance licence treated as additional consideration, increasing assessable value and prompting reassessment and revenue notices. Transfer of advance licence by a buyer to the seller constitutes additional consideration and must be included in the seller's assessable value; the Supreme Court ratio applies to both old and new formulations of Section 4, and authorities are directed to issue notices and reassess value to protect revenue.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Transfer of advance licence treated as additional consideration, increasing assessable value and prompting reassessment and revenue notices.
Transfer of advance licence by a buyer to the seller constitutes additional consideration and must be included in the seller's assessable value; the Supreme Court ratio applies to both old and new formulations of Section 4, and authorities are directed to issue notices and reassess value to protect revenue.
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