https://www.taxtmi.com/caselaws?id=51515 Excise valuation of goods manufactured on job work must follow a principal-to-principal basis where the arrangement is bona fide. Assessable value comprises the job worker's processing or manufacturing cost and profit together with the value of raw materials supplied by the principal, rather than the buyer's resale price. A differential duty demand based on treating the parties as principal and agent, relying on a precedent later set aside by the Supreme Court, is unsustainable. The connected penalty under Rule 209 also fails as a consequence of the invalid duty demand. en-us Wed, 19 Jun 2002 00:00:00 +0530 Sat, 25 Sep 2010 12:09:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=51515 Excise valuation of goods manufactured on job work must follow a principal-to-principal basis where the arrangement is bona fide. Assessable value comprises the job worker's processing or manufacturing cost and profit together with the value of raw materials supplied by the principal, rather than the buyer's resale price. A differential duty demand based on treating the parties as principal and agent, relying on a precedent later set aside by the Supreme Court, is unsustainable. The connected penalty under Rule 209 also fails as a consequence of the invalid duty demand. Case-Laws Central Excise Wed, 19 Jun 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=51515