Normal price principle: factory gate price applies where regional transfers are not sales and dealers' location alone doesn't change class. The Board clarifies that wholesale dealers in different locations are not different classes of buyers solely by location, and transfers to regional sales ... Summary
Normal price principle: factory gate price applies where regional transfers are not sales and dealers' location alone doesn't change class.
The Board clarifies that wholesale dealers in different locations are not different classes of buyers solely by location, and transfers to regional sales depots are internal transfers, not sales creating separate classes. Accordingly, differing prices charged by geographically separated dealers do not automatically constitute separate normal prices, and the factory gate price may be applied for valuation when it is a genuine price. Circular No. 8/76 C.F.V. is modified to this extent.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
Join Channel
TaxTMI 
