determination of A.V

[Ankit Agarwal]

In case of FOR sale, Will freight be included A.V for calculation of excise duty??

AI Summary

Freight Must Be Included in Assessable Value for Excise Duty in FOR Sales Per Rule 5 of Central Excise Valuation. A query was raised regarding whether freight should be included in the Assessable Value (A.V.) for calculating excise duty in a Free on Road (FOR) sale. One response referred to Rule 5 of the Central Excise Valuation Rule, 2000. Another response clarified that in a FOR sale, the price includes freight up to the destination as per the contract. Therefore, freight should be added to the Assessable Value for excise duty calculation.