Inclusion of royalty charges as consideration: royalty must be added to price when determining assessable excise value. Royalty payments received separately by a manufacturer from the buyer constitute additional consideration for the sale of excisable goods and must be included with the price when computing assessable value under the Valuation Rules; assessment basis is price plus royalty and field formations are to apply this treatment.
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.
Inclusion of royalty charges as consideration: royalty must be added to price when determining assessable excise value.
Royalty payments received separately by a manufacturer from the buyer constitute additional consideration for the sale of excisable goods and must be included with the price when computing assessable value under the Valuation Rules; assessment basis is price plus royalty and field formations are to apply this treatment.
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