https://www.taxtmi.com/caselaws?id=760087 Royalty paid under a licence agreement is includible in the transaction value of imported goods only if it is a condition of sale and has a direct nexus with the imports under Rule 10(1)(c) of the Customs Valuation Rules, 2007. The Tribunal found that the imports had earlier been accepted at arm's length between the same parties and that the royalty was payable on net sales of finished goods under the licence arrangement. As the department failed to establish that the royalty was a condition precedent for supply of the imported goods, it held that the royalty was not to be added to assessable value. en-us Fri, 20 Sep 2024 00:00:00 +0530 Tue, 15 Oct 2024 11:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=760087 Royalty paid under a licence agreement is includible in the transaction value of imported goods only if it is a condition of sale and has a direct nexus with the imports under Rule 10(1)(c) of the Customs Valuation Rules, 2007. The Tribunal found that the imports had earlier been accepted at arm's length between the same parties and that the royalty was payable on net sales of finished goods under the licence arrangement. As the department failed to establish that the royalty was a condition precedent for supply of the imported goods, it held that the royalty was not to be added to assessable value. Case-Laws Customs Fri, 20 Sep 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=760087