TaxTMI 
TaxTMI 
2001 (7) TMI 441
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....ppellant. Shri V.K. Chaturvedi, SDR, for the Respondent. [Order per : Archana Wadhwa, Member (J)]. - The appellants are engaged in the manufacture of water tankers on the duty paid chassis. The chassis manufactured by vehicle factory, Jabalpur, and are being sent to the appellants for fabrication of tankers on the same. The appellants are paying duty on the cost of the fabrication in term....
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....pur, they require a bank guarantee from the appellants for the safe return of the chassis to them. For giving such bank guarantee, some commission is being paid to the bank which in case is re-imbursed to them by the manufacturer of the chassis. By no stretch of imagination such bank charges paid to the bank can be linked to the assessable value of the water tanks. Similarly, in respect of transpo....
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.... We have also heard Shri V.K. Chaturvedi, ld. SDR for the Revenue who reiterates the reasoning of the authorities below. 5. The two issues involved in the present appeal are as to whether the bank charges paid to the banker for securing bank guarantee for safe return of chassis to the vehicle factory i.e. manufacture of the chassis, would become a part of the assessable value of the w....
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....cise reported in 1997 (89) E.L.T. 553 which lays down that the cost of transportation of the empty bottle paid back to the factory is not includible in the assessable value of the final product. Here in the present case, apart from the fact that in view of the ratio laid down in the above decision, transportation cost of the chassis would not be includible. We also note that there is an explanatio....