2017 (3) TMI 1407

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....assessee. In the show cause notice, the department was of the view that the same was subject to excise duty, but by the impugned order the said demand was dropped. Being aggrieved, the department has filed appeal. 3. With this background we heard Shri K.Choudhary and Shri Rajeev Agarwal, ld.Counsels for the parties. 4. After hearing both the parties and on perusal of record, it appears that an identical issue has come up in the case of CCE, Mysore v. TVS Motors Co.Ltd. [2016 (331) ELT 3 (SC)], where the Hon ble Supreme Court has endorsed the view laid down in the case of Tata Motors Ltd. v. Union of India [2012 (286) ELT 161 (Bom.)], where it was observed that :- "44. It has been the contention of the respondents that the petitioners pr....

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.... incurred for PDI and said services with expenses for advertisement or publicity. It is required to be noted that the provisions of the said Rules will not be applicable to the facts of this case as the transaction between the petitioners and the dealer does not fall within the ambit of Section 4(1)(b) of the said Act. The transaction of sale of a car between the petitioners and the dealer is governed by the provisions of Section 4(1)(a) of said Act as the petitioners as assessee and the dealer as a buyer of the car are not related to each other and price is the sole consideration for the sale. In our view, reference to the Rule 6 of the Valuation Rules in Clause 7 of Circular dated 1st July, 2002 is totally misconceived. The reference made....