2024 (12) TMI 232

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..... Debapriya Sue, Authorized Representative For the Respondent ORDER The appellant is agitated by the fact that the charges of demurrage have been added to the value so as to arrive at the assessable value for payment of Custom Duty. Demurrage charges have been added in terms of amendment brought in though Explanation to Sub-Rule (2) of Rule 10 of the Customs Valuation (Determination of Value of Imports Goods) Rules, 2007, wherein it is clarified that cost of transportation of imported goods referred to in Clause A includes the ship demurrage charges on chartered vessels, light rails or barges charges. The appellants have paid the Customs Duty on the differential enhanced value, during the investigation. 2. The payment was made by them in....

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....e been envisaged by the legislation to be included in the definition of Section 14 of the Act. However, in view of the clarifications by way of judgments of the Hon'ble Supreme Court, more particularly in the cases of Wipro Ltd. (supra), Essar Steel Ltd. (supra) and Mangalore Refinery & Petrochemicals Ltd. (supra), it is made clear that demurrage cannot be included for the purpose of valuation under the Customs Act, 1962. In that view of the matter, we are of the considered opinion that the contentions raised by the petitioner that the relevant provisions in the Principal Act is silent about the demurrage; thus, it was beyond the legislative power to include it in the Rules is accepted and thus the explanation to Sub-Rule (2) of Rule 10....

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....scipline, we do not have any option except to follow the Hon'ble Orissa High Court judgment in the case of Tata Steel Limited as also this Tribunal's decision in the case of Jubilant Life Science Limited. Accordingly, the impugned order passed by the learned Commissioner is just and proper and the same does not suffer from any infirmity. Accordingly, the same is upheld and Revenue's appeal is dismissed." 4. In view of these submissions, she prays that the present appeal may be allowed by setting aside the order in toto. 5. The Learned AR reiterates the findings of the earlier authorities and justifies the enhanced value on account of the demerit charges paid by the appellant. 6. Heard both sides perused the appeal papers and ....

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.... (v) At paragraph 5, page number 4 of the said Final Order, there is a typographical error which reads as under: - "5. The Learned AR reiterates the findings of the earlier authorities and justifies the enhanced value on account of the demerit charges paid by the appellant." It is pointed out that the words "demerit charges" should be read as "demurrage charges". 1.1. The Ld. Counsel Mrs. Shreya Mundhra appearing on behalf of the appellant has pointed out these errors and makes a prayer that the same be rectified and accordingly the ROM petition be allowed. 2. On going through the Final Order No. 77709 of 2024, we find that the mistakes pointed out by her have crept in. Accordingly, we allow the following rectifications to be made: -....