https://www.taxtmi.com/caselaws?id=236049 Rule 9 of the Central Excise Valuation Rules, 2000 applies only in the special situation where sales are routed through or made to a related person so as to attract the deeming valuation fiction. Where contemporaneous sales to independent buyers are available and provide a reliable benchmark, that special method cannot be applied mechanically merely because some clearances are to a related concern. The discussion distinguishes precedents under the earlier valuation regime and also distinguishes Fiat India on the ground that there was no finding that the related-party price was below cost of production. On that basis, the assessable value could not be fixed at 115% of cost of production, and the valuation-based demand, interest and penalties were set aside. en-us Tue, 07 May 2013 00:00:00 +0530 Fri, 12 Feb 2016 15:37:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=236049 Rule 9 of the Central Excise Valuation Rules, 2000 applies only in the special situation where sales are routed through or made to a related person so as to attract the deeming valuation fiction. Where contemporaneous sales to independent buyers are available and provide a reliable benchmark, that special method cannot be applied mechanically merely because some clearances are to a related concern. The discussion distinguishes precedents under the earlier valuation regime and also distinguishes Fiat India on the ground that there was no finding that the related-party price was below cost of production. On that basis, the assessable value could not be fixed at 115% of cost of production, and the valuation-based demand, interest and penalties were set aside. Case-Laws Central Excise Tue, 07 May 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=236049