TaxTMI 
TaxTMI 
2026 (10) TMI 256
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....ut the imported goods being covered under HAWB no. 8526751258 filed under Courier Bill of Entry [CBE] imported by M/s Sangam Enterprises through their authorized courier M/s Signature Logistics to be mis-declared in terms of quantity and to have been highly undervalued. The consignment, was accordingly, put on hold for examination by SIIB (NCT), (ACC) Export, New Delhi. From perusal of aforesaid CBE. It was observed that appellant had imported goods declaring them as "watch movement "under CTH 91081100. The goods were examined under Panchnama dated 20/10/2022. It was observed that the goods were found to be "watch movement" (MIYOTA JAPAN CWMJ) (no jewels) with battery and distinct from the declaration i.e. "watch movement". 2.1 The actual quantity of goods was found to be 36000 pieces as different from the declared quantity of 5800 pieces. However, the weight of the consignment and the details of commercial invoice dated 20.10.2022 filed at the time of import of consignment under the above mentioned HAWB were found consistent with the details mentioned in the Courier Bill of Entry (CBE). The value of imported goods declared at Rs 69,507/- was alleged to be grossly undervalued. T....
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.... * Aman Deep Singh Sehgal v. CC, 2019 (368) ElT 560 (Del. * CCE v. Dhiren Gandhi, 2012 (281) ElT 64 (Kar.) * Bharti MulchandChhedav.CCE, 2016 (336) ELT 93 (Tri.) 4.1 While submitting with respect to the merits of the appeal Learned Counsel mentioned that the declared transaction value has mechanically been rejected merely on the basis of NIDB data, alleged statements of an unauthorized person, retail prices from e-commerce websites etc. It is further submitted that there is no evidence brought on record to show that extra consideration was debarred on the impugned transaction, that the remittance was beyond invoice value or that there was relationship between buyer and seller. Department could not have proved flow back of money. Above all, the impugned order doesn't record any legally sustainable finding as to why the declared value doesn't represent the price actually paid or payable. Following decisions have been relied upon: - * Eicher Tractors ltd. V. CC, 2000 (122) ElT 321 (SC) * CC v. Sanjivani Non-Ferrous Trading, 2019 (365) ElT 3 (SC) * CC v. Prodelin India Pvt. ltd., 2006 (202) ElT 13 (SC) * Guru Raje....
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....irs of deceased proprietor of Appellant/ M/s Sangam Enterprises can be held liable to pay the duty, interest and can be imposed with penalty and fine. (ii) Whether the rejection of declared value and enhancement of assessable value by referring NIDB data is correct in law in the given facts and circumstances of the present case. (iii) Whether the rejection of declared value of live consignment can form the basis of rejection of the said value and the enhancement of accessible value of the past consignments. (iv) Whether the imported goods of live as well as past consignments are liable to confiscation (v) Whether the penalties are imposable under section114A and 114 AA of the Customs Act. 7. Issue wise findings are as follows. Issue number1: In the present case the appellant is the proprietorship firm of Shri Dharampal Gupta as the sole proprietor thereof. It is the fact on record that Shri Dharmpal Gupta had expired on 23/02/2023 that is prior the issuance of the Show Cause Notice in question (dated 17/07/2023). The show notice has still been issued and was served on Shri Rajesh Gupta and Shri Rupesh Gupta both sons of said ....
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.... interest, penalty and fine with respect to such imports as were got effected during the lifetime of Shri Dharmpal Gupta through his Power of Attorneys. The first issue accordingly stands decided against the appellant. Issue no. 2: We observe that the value of goods has to be assessed in terms of section 14 of the Customs Act. Said section stands amended with effect from 31/03/2017 which reads as follows. "14. Valuation of goods.- (1) For the purposes of the Customs Tariff Act, 1975 (51 of 1975), or any other law for the time being in force, the value of the imported goods and export goods shall be the transaction value of such goods, that is to say, the price actually paid or payable for the goods when sold for export to India for delivery at the time and place of importation, or as the case may be, for export from India for delivery at the time and place of exportation, where the buyer and seller of the goods are not related and price is the sole consideration for the sale subject to such other conditions as may be specified in the rules made in this behalf: Provided that such transaction value in the case of imported goods shall include, in ad....
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....s fundamental concept is retained even while introducing the concept of "transaction value" under the amended provision. More importantly, the rules viz. Customs Valuation Rules, 1988 had incorporated this very principle of "transaction value" even under the old provision. No doubt, as per this provision existing today generally the price mentioned is to be accepted as it is the transaction value. However, amended Section 14 itself stipulates the circumstances under which that price can be discarded. In any case, having regard to the question with which we are concerned in the present appeals, such a change in the provision may not have much effect. This Section also provides that normal price would be the sole consideration for the sale. However, this may be subject to such other conditions which can be specified in the form of Rules made in this behalf. 11. In the present case the department has not produced any evidence in the form of invoice to show that the transaction value of two live consignments in question was not the one declared by the appellant in the CBE. The only thing relied upon for invoking Rule 12 of Customs Valuation Rules, i.e., while rejecting the transacti....