Customs, Excise and Gold Tribunal - Delhi
Gansons Ltd. vs Collector Of Central Excise on 23 January, 1998
Equivalent citations: 1998(99)ELT238(TRI-DEL)
ORDER
U.L. Bhat, J. (President)
1. Appellant is absent in spite of notice of hearing. There is no representation and no request for adjournment. We have heard Shri K. Srivastava, SDR appearing for the respondent.
2. Appellant, engaged in the manufacture of Gas Cooler, Reboiler, Acetic Acid Reactor, Inter Cooler, Heat Exchanger etc. filed price list in Part II in respect of goods contracted to be manufactured and supplied to M/s. Vam Organic Chemicals Ltd. On the direction of the officer concerned, appellant filed price list in Part VII under Rule 6(b)(ii) of the Central Excise (Valuation) Rules, 1975 declaring the cost of raw materials, labour charges and the appellants margin of profit. Assistant Collector passed order approving the price list after including 10% of the cost of raw materials supplied by the assessee as margin of profit. This order having been confirmed by the Collector (Appeals), the assessee has filed the present appeal.
3. If Rule 6(b)(ii) of the Rules is applicable, assessable value should comprise of cost of raw materials, labour charges and margin of profit of the manufacturer. Margin of profit of the buyer on any count cannot be included in the assessable value. We therefore set aside the impugned order and allow the appeal.