2013 (3) TMI 615

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e department. 3. Briefly stated facts of the case are that the appellants are engaged in the import of seeds for sale in India from M/s. Syngenta AG, Switzerland and its various subsidiary and associated companies and were registered in SVB of the Customs House, since the appellant is related to the supplier. The Dy. Commissioner (SVB) vide his order No. 45/2002, dated 22-8-2002 ordered as under:- "I order acceptance of the Invoice value of the goods supplied by M/s. Syngenta AG, and its subsidiary/associated companies abroad under Rule 4 of the Customs Valuation (Determination of Price of Imported Goods) Rules, 1988 read with Section 14 of the Customs Act, 1962." In the periodical review the said order was reviewed by the Asst. Com....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e sale of the imported goods. The contention is that as per Interpretative Note to Rule 10(l)(c), the payment made for right to reproduce the imported goods will not form part of the value of the imported goods. The contention is that explanation to Rule 10(1) is not applicable if Rule 10(l)(c) is not otherwise attracted. The appellant also placed reliance on the following decisions :- (a)     Commissioner of Customs v. Maruti Udyog Ltd. - 1987 (28) E.L.T. 390 (Tri.) Affirmed in 1989 (22) ECR 482 (S.C). (b)     Vestass RRB India v. Commissioner of Customs - 2004 (178) E.L.T. 636 Affirmed in 2006 (199) E.L.T. A221 (S.C.) (c)     Toyota Kirloskar Motor Pvt. Ltd. v. Commissioner o....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....th the help of technical know-how, that too on value addition undertaken in India. 5.2 As per interpretation notes to Rule 10(1)(c) of Customs Valuation Rules, 2007 "the royalties and licence referred to in Rule 10(1)(c) may include among other things, payments in respect to patents, trademarks and copyrights. However, the charges for the right to reproduce the imported goods in the country of importation shall not be added to the price actually paid or payable for the imported goods in determining the customs value." 5.3 Further the element of royalty can be included in the assessable value in terms of Rule 10(1)(c) Customs Valuation Rules, 2007 which is reproduced hereinunder for reference of convenience :- Rule 10(1)(c) &nb....