Transfer pricing comparability requires functional alignment, reliable financial data, and careful review of working capital and receivables adjustmen...
Transfer pricing rules require benchmarking corporate guarantees and associated-enterprise advances, while invalid domestic-transaction adjustments ca...
Prospective sugar export prohibition required registered letters of credit; private contracts and export quotas created no enforceable continuation ri...
The appellants imported goods and procured goods from the Domestic Tariff Area (DTA) under exemption notifications, allowing import and procurement of raw materials and components for export production. Due to technological changes, some imported raw materials and components became obsolete and unfit for manufacturing. The notification was amended, permitting destruction of raw materials under intimation to customs. Although the period of dispute predated the amendment, a harmonious reading of the Foreign Trade Policy (FTP) and the customs notification implied destruction of obsolete raw materials was allowed after intimation to customs if destroyed within the unit, and with permission if destroyed outside. Such permission was granted previously. Technological advancements necessitate provisions for destruction of obsolete goods. The FTP allowed destruction, but the notification lacked this provision until amended. Precedent Tribunal decisions support allowing destruction, and the appeals are allowed.
The appellants imported goods and procured goods from the Domestic Tariff Area (DTA) under exemption notifications, allowing import and procurement of raw materials and components for export production. Due to technological changes, some imported raw materials and components became obsolete and unfit for manufacturing. The notification was amended, permitting destruction of raw materials under intimation to customs. Although the period of dispute predated the amendment, a harmonious reading of the Foreign Trade Policy (FTP) and the customs notification implied destruction of obsolete raw materials was allowed after intimation to customs if destroyed within the unit, and with permission if destroyed outside. Such permission was granted previously. Technological advancements necessitate provisions for destruction of obsolete goods. The FTP allowed destruction, but the notification lacked this provision until amended. Precedent Tribunal decisions support allowing destruction, and the appeals are allowed.
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