https://www.taxtmi.com/caselaws?id=53152 Mutuality of interest is the decisive test for treating a buyer as a related person in excise valuation. On the facts stated, the buyer purchased goods for complimentary distribution with its own product, not for resale, and the record did not show reciprocal business interest between the manufacturer and buyer; the declared assessable value therefore could not be rejected merely because the buyer had a corporate connection or because wholesale dealer prices were higher. Once the sales were found to be at arm's length, the foundation for duty demand, penalty, interest and confiscation on undervaluation also fell away, and the assessee's valuation was accepted. en-us Thu, 22 Apr 2004 00:00:00 +0530 Mon, 11 Oct 2010 12:52:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=53152 Mutuality of interest is the decisive test for treating a buyer as a related person in excise valuation. On the facts stated, the buyer purchased goods for complimentary distribution with its own product, not for resale, and the record did not show reciprocal business interest between the manufacturer and buyer; the declared assessable value therefore could not be rejected merely because the buyer had a corporate connection or because wholesale dealer prices were higher. Once the sales were found to be at arm's length, the foundation for duty demand, penalty, interest and confiscation on undervaluation also fell away, and the assessee's valuation was accepted. Case-Laws Central Excise Thu, 22 Apr 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=53152