https://www.taxtmi.com/caselaws?id=51515 In a bona fide job-work arrangement, excise valuation is to be determined on a principal-to-principal basis by taking the job worker's processing cost and profit together with the value of raw materials supplied by the principal. The note says that a demand based on treating the relationship as principal-agent and on the buyer's resale price was unsustainable because that valuation approach had been rejected by the Supreme Court in Ujagar Prints. It further states that, where the duty demand fails on that basis, the consequential penalty under Rule 209 of the Central Excise Rules also cannot stand. 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 In a bona fide job-work arrangement, excise valuation is to be determined on a principal-to-principal basis by taking the job worker's processing cost and profit together with the value of raw materials supplied by the principal. The note says that a demand based on treating the relationship as principal-agent and on the buyer's resale price was unsustainable because that valuation approach had been rejected by the Supreme Court in Ujagar Prints. It further states that, where the duty demand fails on that basis, the consequential penalty under Rule 209 of the Central Excise Rules also cannot stand. Case-Laws Central Excise Wed, 19 Jun 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=51515