TaxTMI 
TaxTMI 
1992 (3) TMI 205
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.... the enhancement of value of imported goods from the declared value of US $ 7.50 per great gross c.i.f. Calcutta, and 22 paise per needle whereas the department has come up in appeal against the order of the adjudicating authority on the ground having enhanced the value it has not imposed penalty and not confiscated the goods. 4. The brief facts are as follows : The importer imported 33 cases containing 1375 great gross of industrial sewing machine needles of assorted sizes from M/s Lucky Dragon Co. Hongkong. The goods are of Japanese origin. The appellants declared the value at US $ 7.50 per great gross c.i.f. A show cause notice was issued proposing to enhance the value at Japanese Yen 3.10 per piece c.i.f. which are also of Japanes....
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....s as to the value of the goods imported against which the importer as well as the department have come up in appeal. 7. The main contention of Shri Harbans Singh on behalf of the importer is that the department having failed to adduce evidence of imports at a higher price of contemporary goods ought to have accepted the transaction value. The appellants have not agreed for enhancement of value to 22 pcs. Assuming that there is an agreement there cannot be an assessment on the basis of consent. In support of this contention he relied upon the judgement of the Supreme Court in I. T. Commissioner v. Firm MVAR (AIR 1965 S.C. 1216) wherein it was held that "As in the case of estoppel it cannot operate against the provision of statute. If a pa....
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.... 5000 gross Invoice No. 490/54-01017 dated 5.9.1988 of M/s Stroj Import Foreign Trade Company, Czechoslovakia, importer Peacock Industrial 9, Banslolla Lane, Calcutta 700007 relating import of Value PFX 130 Type of needles size Nos. Value 14 14,400 Rs. 185 per 1000 pcs. 115,20016 total value 18 14,400 Rs. 26,640.00 On the basis of above evidence, it is clear that the industrial sewing machine needles are sold in international trade specifying the type and size no. It is also seen that the value is dependent on the type of the needle (irrespective of size) and country of origin. It is further observed that th....
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....re shown to Shri D. Singh, A.C. and Shri J.K. Batra, Addl. Collr. Let Additional Collector (B) arrange for a quick verification of the wholesale market prices of the quality of goods imported in the present case. Let a comparison also be taken in terms of the prices for 'organ' needles as the price of 'organ' needles has been taken on the basis in the Show Cause Notice. Addl. Collector Sd/- R. Gopalanathan Collector Shri Hasmukh Kundalia appeared for personal hearing before me today. He submitted that the goods imported by them are industrial sewing machine needles of Japanese origin which are of a very inferior type without any brand name. Shri Kundalia produced samples of certain needles of organ brand which are of Japan....
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....e offer of 22 paise per needle. We may accordingly load the value ... per needle. For license we may accept the invoice value. I will dictate the .. in two days time." Sd/- "Please call for the Bill of Entry." 11. In the present proceedings before us the partner has filed an affidavit which reads that "On 10-5-1991,1 requested Shri Hasmukh Kundalia to state that at the time of personal hearing on 20-11-1989 before the Collector of Customs, Calcutta whether he had agreed to any compromise offer relating to the valuation of the said item/items and whether there was any specific instructions from us regarding the same." The importers also has filed a letter written by Shri Hasmukh Kundalia dated 21-5-1991. The relevant portion of the ....
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....3. Even assuming that there is an agreement, the appellants are not estopped from claiming the assessable value on the basis of transaction value in accordance with the rules, in view of the judgment of the Supreme Court in the case of Dunlop India Ltd. v. U.O.I, (supra), the relevant portion is as follows : "At one stage Mr. Sanghi pointed out that in certain Bills of Entry of Dunlop India Limited, their Agents, Messrs Mackinnon, Mackenzie & Co. Private Ltd. gave the I.T.C. Item No. 87 with regard to the imported V.P. Latex. This, according to Mr. Sanghi, clearly shows how the appellants themselves have understood the matter. There is, however, no estoppel in law against a party in a taxation matter. In order to clear the goods for the ....