TaxTMI 
TaxTMI 
2017 (1) TMI 525
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.... 3/94407-94408/16/CB, A/94409-94455/16/CB<br>Customs<br>Mr Ramesh Nair, Member(Judicial) And Mr. Raju, Member (Technical) Shri. Jhamman Singh, Advocate for the Appellants Shri. Ahibaran, Addl. Commissioner(A.R.) for the Respondent APPEAL NO. C/90163/14, C/89151 to 89156, 89158,89879/13, C/85024, 85035/14, C/85025, 85156 to 85158/14, C/89880, 89881,89882/13, C/85026/14, C/89818, 89811/13, C/85054, 90164/14, C/90165 to 90186/14, C/85191 & 85144/14, Application No. C/STAY/92277/14 & C/STAY/92390/14 IN APPEAL NO. C/85155, 85191/14 ORDER Per : Ramesh Nair The fact of the case is that M/s. Jharsanya Logistics Pvt Ltd were importing the goods and selling them on High Sea Sale basis. The goods so purchased on High Sea Sale were be....
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....ya Logistics Pvt Ltd issued tax invoices to the various High Sea buyer wherein value charged is more than valued declared in the bill of entry i.e. CIF value +2%. M/s. Jharsanya Logistics Pvt Ltd, Mumbai on demand by the investigation agency submitted chart showing breakup value of prices shown in their tax invoice. As per the chart the difference between Bill of Entry value and the tax invoice value was revealed as duty paid, LC charges, transportation charges, clearing bill and administrative expenses. The adjudicating authority has determined the assessable value taking tax invoice value by deducting there from custom duty, transportation charges, port charges and other clearing charges, considering the same as these charges merit deduct....
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....ortation, port charges, cleared charges etc. Therefore the expenses such as L.C. charges and administrative charges are on the same footing therefore these charges should also be deducted and accordingly there will be no differential value, which will be chargeable to differential custom duty. He submits that L.C. charges is a post import expenses, which is born by the importer with negotiating bank and same is not includible as per the normal course of import therefore is not includible in the assessable value. As regard the administrative charges, which was included in the value, he submits that the same is on account of various expenses such as erection, installation and other services. On the query from the bench regarding the details o....
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....LT 642] (k) O.T. Enasu Vs. Union of India[2011(272) ELT51(Ker)] 3. On the other hand, Shri. Ahibaran, Ld. Addl. Commissioner(A.R.) appearing on behalf of the Revenue reiterates the findings of the impugned order. He further submits that as per the Board Circular No. 32/2004- Cus dated 11-5-2004 in case of High Sea Sale, the CIF value + 2% notional High Seas Sale commission is acceptable only in case where actual contract price is not available. In the present case the appellants have raised tax invoice for higher value as compared to the value i.e. CIF value + 2% therefore the value declared in the Bill of Entry is clearly not acceptable in terms of above circular. He submits that LC charges are related to pre clearance of impor....
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.... value is includible in the assessable value. The adjudicating authority has given deduction on account of transportation charges, port charges, clearing etc. for which evidences were produced. The adjudicating authority has included only administrative expenses and LC charges in the assessable value. We do not agree with the Ld. Counsel that in each and every case of High Sea Sale CIF value + 2% notional high Sea commission should be taken for assessment of Bill of Entry. As per Board Circular No. 32/2004 Cus this method has to be adopted only in case where actual contract value is not available. In the present case, the tax invoice raised by the High Sea seller to the High Sea buyer clearly disclosed that value charged is over and above t....