2005 (6) TMI 405

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..... Shri Moti Bhai Patel, Consultant, for the Respondent. [Order per : K.C. Mamgain, Member (T)]. - This appeal is filed by the Revenue against the order-in-appeal passed by the Commissioner of Central Excise (Appeals), Ahmedabad. 2.The respondent, M/s. Nirma Limited, is manufacturing excisable goods falling under Chapter 34 of the Schedule to Central Excise Tariff Act. It was noticed by....

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....oduct in market are the functions of the manufacturer and when the consignment agent organizes sale promotion, publicity and advertisement of manufacturer's goods, at their own cost, such expenses amount to additional consideration. He relied on the decision of the Supreme Court in the case of Bombay Tyre International, reported in 1983 (14) E.L.T. 1896, and also the decision of the Supreme Court ....

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.... Patel, learned consultant for the respondents, pleaded that by the advertisement by the agents, besides the benefits obtained by the respondents in the form of sale of their products by such advertisements, dealers were also benefited. In support of his contention, he relied on the decision of the Supreme Court in the case of Philips India Ltd. v. CCE, Pune, 1997 (91) E.L.T. 540 (S.C.), wherein t....

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....for re­imbursement to M/s. Nirma. M/s. Nirma re-imbursed them 70% of their expenses and balance 30% of the expenses were borne by the dealers. We find that the Commissioner (Appeals) in his order has observed that the present case is fully covered by the ratio of the decision of the Supreme Court in the case of Philips India Ltd. v. CCE, supra, and he accordingly held that the deductions towar....