2017 (4) TMI 842

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ity thereon. Appellant is an 100% EOU and manufactures copper and brass ingots from the scrap purchased, as an EOU. Whenever clearances are affected by the appellant to DTA, the duty liability is discharged on transaction value, which according to the Department is very low considering the value of the copper and brass ingots as per London Metal Exchange rates. 4. Revenue was also of the view that the cost of copper and brass ingots cleared by the appellant are less than the value of the scrap prevailing in the market during the point of time. 5. Ld. Counsel submits that there is no dispute to the fact that the transaction value of the goods cleared to DTA was the amount received by them. He relies upon the recent judgment of this Tribuna....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....re manufacturing copper ingots using scrap. There is no indication in the original order that such scrap based ingots are listed in LME and are compared for determining the price. Apparently, a comparison cannot be made between the ingots manufactured from ore and the ingots manufactured from scrap. Both will vary in quality and value. 6. Regarding brass ingots the impugned order adopted the tariff value fixed for customs duty purposes for determination of duty of imported brass scrap. Adding 20% on that tariff value, the brass ingot price for domestic market was arrived at. We find no legal reason to support such calculation. First of all, it is to be noted that the tariff value for this scrap is fixed for determining customs duty on impo....