TaxTMI 
TaxTMI 
2001 (9) TMI 230
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....ct that clearance certificate is produced now, the order dismissing the appeal is recalled and the appeals are restored to their original numbers. 2. Shri Appa Rao, learned Counsel for the appellants the issue involved in these appeals pertains to rejection of their prayer for grant of deduction with regard to three allowances as under : (a) Despatch money allowance for the quick turn around of the vessel (b) Penalty allowance given by the charter/supplier for late arrival of the vessel (c) Goodwill allowance i.e. when there are excess impurities in the concentrates supplied, the supplier allows them some allowance by charging less for the price ....
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....f the records we notice that the issue has already been decided in respect of despatch money allowance and penalty allowance by the Tribunal in the case of CC v. Coromondal Fertilizers Ltd. and in the case of IOC (supra). We are therefore, not inclined to grant adjournment of this matter and take up the appeal for disposal as per law. 7. With regard to the claims filed by the appellants we are reproducing herewith the written submissions in para 2 to 8 : 2.0 Since the matter pertains to the imports of Zinc concentrates/Lead concentrates in the year 1989, we most humbly pray the Honourable Tribunal that the Appeals may kindly be heard simultaneously, since substantial amount of more than Rs. 18 lakhs is involved, as a resul....
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....he case of Collector of Customs v. Coromondal Fertilisers Ltd. - 1988 (33) E.L.T. 451 (Copy enclosed). On Appeal by the Department, the above decision of the Tribunal was confirmed by the Honourable Supreme Court in the case of Collector of Customs v. Coromondal Fertilisers - 2000 (115) E.L.T. 7 = 2000 (36) RLT 1 (Copy enclosed). 5.0 Penalty Allowance : 5.1 This is for late arrival of the vessel. When the vessel comes late and our production schedule goes away, the supplier/vessel owner agrees to pay some agreed Penalty from the amount payable by us. 5.2. This allowance is not paid under ordinary circumstances, as contemplated under Rule 4 of the Valuation Rules, 1988. This is made quite clear by the decision of t....
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....we note from the judgment in the case of IOC, in para 13 that the Larger Bench has held as follows : 13. On behalf of the Revenue it was contended that Rule 9(2)(a) of the Rules requires addition of cost of transport of the imported goods to the place of importation. So, the cost paid or payable by the importer to bring the goods up to the Customs barrier must form part of the value. That cost should necessarily take within demurrage as well. Therefore, according to counsel, the Garden Silk Mills Ltd. case is authority for the proposition that the entire cost incurred for bringing the imported goods up to the Customs barrier should form the assessable value. We find it difficult to agree with this argument. First of all, the apex C....
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....o form part of the assessable value of the goods discharged from that vessel, the duty on that quantity will be greater. Consequence will be a part of the goods covered by the same contract is assessed at a lesser value and the remaining at a higher value. Such a situation is not one envisaged by the provisions of the Act or the Rules. Only the price at which the goods are ordinarily sold can be reckoned by the Customs authorities for finding out the value under the Act. Demurrage being an extraordinary situation cannot become part of the value of the goods. The above ratio of the Larger Bench clearly applies to the claim made by the appellants with regard to penalty allowance. Hence the benefit of the claims made by the appellants in th....