Inclusion of Freight in Assassable Value

[Sanjeev Chauhan]

Respected All,

A manufacturer is charging freight amount separately in his Invoice but not including it in assassable value.

In my view, since the manufacturer is charging freight in his Invoice and also collecting the same from the buyer than such freight charges should form the part of assassable value and excise duty should be paid on such freight amount also.

Please guide, is the interpretation made above is correct or otherwise.

Regards,

Sanjeev.

 

 

 

AI Summary

Manufacturer Excludes Freight from Assessable Value for Excise Duty; Accurate Meter Judgment Supports Exclusion of Freight Charges. A manufacturer is charging freight separately on invoices but not including it in the assessable value for excise duty purposes. The query raises whether freight charges should be part of the assessable value, thus subject to excise duty. The response refers to the Accurate Meter judgment, which indicates that excise duty is not payable on the freight amount.