https://www.taxtmi.com/caselaws?id=40536 Where the buyer supplied a component used in manufacture, the assessable price could exclude that component if the manufacturer's actual sale consideration already reflected only cotton, conversion charges and incidental charges. On those facts, the Madras HC found no breach of the exemption notification conditions, because the value of buyer-supplied nylon was not required to be added to the price list. It further held that the foundation for differential duty and penalty failed once the alleged contravention was not established, and the freight and handling objection also failed because the contract contemplated freight to pay. The show cause notices and proposed penal action were therefore unsustainable. en-us Mon, 19 Jul 1976 00:00:00 +0530 Mon, 12 Aug 2024 14:40:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=40536 Where the buyer supplied a component used in manufacture, the assessable price could exclude that component if the manufacturer's actual sale consideration already reflected only cotton, conversion charges and incidental charges. On those facts, the Madras HC found no breach of the exemption notification conditions, because the value of buyer-supplied nylon was not required to be added to the price list. It further held that the foundation for differential duty and penalty failed once the alleged contravention was not established, and the freight and handling objection also failed because the contract contemplated freight to pay. The show cause notices and proposed penal action were therefore unsustainable. Case-Laws Central Excise Mon, 19 Jul 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=40536