TaxTMI 
TaxTMI 
1992 (1) TMI 256
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....lectromat and one Two Colour 46 x 64 cm complete offset press standard equipment" and clearance was claimed under OGL-Appendix 10(3) read with Appendix 2(12)(18) and of AM-83 Import Policy. On examination of the goods in the docks it was found that in addition to the declared goods one additional Two Colour Offset Printing Machine Model Solna 225 had been imported. In the Chartered Engineer's certificate produced by the importers the imported paper cutting machine and the offset printing machine were shown to be of 1974 and 1975 make respectively and the residual life of the offset machine was indicated as 15 years. On the basis of the price of S.E.K. 210000 = Rs. 29,5566 in respect of a Two Colour offset printing machine Model Solna 225 of....
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....w and ordered the goods to be released on a warning. 2. On behalf of the appellants we heard the learned Consultant Shri A.S. Sunderrajan. He contended that the order of the adjudicating authority determining the value of the imported second-hand Two Colour offset printing machines on the basis of the assessed value of a similar second-hand machines imported by other importers was erroneous. He added that similarly the determination of the value of the imported second hand 'Guilltone 45" Polar 115 Electromat' machine on the basis of the price-list of similar used machine issued by some other supplier was not permissible. He stated that the value of a second-hand machine cannot be determined on the basis of any other second-hand machin....
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....used machine of 1975 make. He pleaded for the rejection of the appeal. 4. We have examined the records of the case and considered the submissions made on behalf of both sides. It is seen that the appellants case is that in the absence of any evidence to the effect that the seller and the buyer were related to each other or any amount in excess of the invoice value having been paid to the seller, the invoice value of the imported second-hand machines would be the assessable value under Section 14(1)(a). It has been contended that the value of a second-hand machine is not determinable on the basis of the value of any other similar second-hand machine imported at or about the same time. In this regard we find that in the case of Rakesh P....
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.... in the country and, therefore, provisions of Section 14(1)(a) of the Act can hardly be of any help in determining the valuation of such goods; Furthermore, valuation of second-hand machinery falling in different age groups....... with different residual life, coming from different sources etc., is undisputedly a difficult task. This fact necessarily, therefore, casts a heavy responsibility on the lower authorities to collect evidence which could stand the scrutiny of judicial or quasi-judicial forums. The exercise done by the learned Collector by way of comparing the appellants' goods with similar goods imported by another importer and thereafter fixed the value of the appellants' goods in the manner adopted in this case, can hardly be tre....