https://www.taxtmi.com/caselaws?id=340103 Royalty paid as consideration for technical know-how forms part of the cost of production and is includible in assessable value under the cost-based valuation method, even if quantified with reference to net sales; the mode of computation does not alter its character. The addition cannot extend to products outside the scope of the licence agreement, so the demand must be re-quantified for covered goods only. Penalty under Section 11AC was sustained for the includible portion, while the demand beyond the normal limitation period was set aside to the extent indicated. en-us Mon, 27 Feb 2017 00:00:00 +0530 Fri, 24 Mar 2017 14:21:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=340103 Royalty paid as consideration for technical know-how forms part of the cost of production and is includible in assessable value under the cost-based valuation method, even if quantified with reference to net sales; the mode of computation does not alter its character. The addition cannot extend to products outside the scope of the licence agreement, so the demand must be re-quantified for covered goods only. Penalty under Section 11AC was sustained for the includible portion, while the demand beyond the normal limitation period was set aside to the extent indicated. Case-Laws Central Excise Mon, 27 Feb 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=340103