2004 (9) TMI 716

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....Member (T) Appeal allowed. 1. The issue involved in this appeal filed by M/s. Avon Tubes Limited relates to determination of assessable value of steel tubes consumed captively by them. 2. Shri K.K. Anand, learned Advocate, submitted that the appellants manufacture steel tubes which are sold by them to independent buyers and also are used captively in their other units namely Unit No. 1 an....

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.... consumption; that in the present matter 60% of the production is sold to independent customers and remaining 40% of the goods are captively consumed; that in this situation the value is required to be determined by using reasonable means consistent with the principles and general provisions of the Rules and Sub-Section (1) of Section 4 of the Act. He relied upon the decision in the case of Steel ....

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....Pushkarna, learned JDR reiterated the findings as contained in the impugned order. 4. We have considered the submissions of both the sides. Section 4 of the Central Excise Act provides that whether the goods are sold by the assessee for delivery at the time and place of removal, the assessee and the buyer are not the related and the price is the sole consideration for the sale, the assessable v....

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....has not been disputed by the Revenue that almost 60% of the goods manufactured by the appellant are sold to the buyers who are not related and the price is the sole consideration. It clearly shows that the value of the goods at the place and time of removal is available and that price should be adopted for the purpose of ascertaining the assessable value of the goods which are used captively by Un....