https://www.taxtmi.com/caselaws?id=54179 Royalty payable on net sales in India was held not to form part of the assessable value of imported compact discs because the agreement did not make the royalty a condition of sale for the imported goods. The importer was free to source compact discs from other suppliers, and the fact that royalty was also paid on domestic sales supported the conclusion that the payment was linked to use and sales in India rather than to the import transaction itself. Under Rule 9(1)(c) of the Customs Valuation Rules, 1988, royalty is includible only when it relates to the imported goods and is payable as a condition of sale; on that basis, the royalty was excluded from valuation. en-us Fri, 02 Sep 2005 00:00:00 +0530 Mon, 18 Oct 2010 13:44:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=54179 Royalty payable on net sales in India was held not to form part of the assessable value of imported compact discs because the agreement did not make the royalty a condition of sale for the imported goods. The importer was free to source compact discs from other suppliers, and the fact that royalty was also paid on domestic sales supported the conclusion that the payment was linked to use and sales in India rather than to the import transaction itself. Under Rule 9(1)(c) of the Customs Valuation Rules, 1988, royalty is includible only when it relates to the imported goods and is payable as a condition of sale; on that basis, the royalty was excluded from valuation. Case-Laws Customs Fri, 02 Sep 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=54179