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Supreme Court - Daily Orders

Commr.Of Cen.Excise & ... vs M/S Reliance Industries Ltd. on 15 October, 2015

Bench: A.K. Sikri, Rohinton Fali Nariman

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                                          IN THE SUPREME COURT OF INDIA
                                           CIVIL APPELLATE JURISDICTION



                                       CIVIL APPEAL     NO(S). 5431-5433/2007



     COMMISSIONER OF CENTRAL EXCISE &
     CUSTOMS-II,AHMD.                                                          APPELLANT(S)

                                                          VERSUS

     M/S RELIANCE INDUSTRIES LTD.                                               RESPONDENT(S)



                                                      O R D E R

The question that arises for consideration in the present appeals is as to whether the amount collected by the respondent assessee @ 1% on the invoice value, as incentive, is includible in the value of goods on payment of central excise duty. The aforesaid issue is answered in favour of the assessee with the following observations:

“5. From the above, it is seen that the scheme is that of the dealers/agents; dealers are seeking help from staff of the respondent to manage and service the scheme. The findings of the original authority also confirmed that the scheme was meant for buying the gifts for dealers and distributors. If the money received from the dealers and distributors is spent on their behalf, the same cannot be treated as additional consideration flowing back to the manufacturer. Therefore, we do Signature Not Verified not find any reason to interfere with the Digitally signed by ASHWANI KUMAR Date: 2015.10.29 findings of the Commissioner(Appeals)” 18:05:20 IST Reason:
We find the aforesaid justification given by the Tribunal to be perfectly in order which does not call for any interference.
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The appeals are, accordingly, dismissed.
......................J. [A.K. SIKRI] ......................J. [ROHINTON FALI NARIMAN] NEW DELHI;
OCTOBER 15, 2015
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ITEM NO.111                 COURT NO.14                 SECTION III

                S U P R E M E C O U R T O F       I N D I A
                        RECORD OF PROCEEDINGS

Civil Appeal No(s). 5431-5433/2007 COMMR.OF CEN.EXCISE & CUSTOMS-II,AHMD. Appellant(s) VERSUS M/S RELIANCE INDUSTRIES LTD. Respondent(s) Date : 15/10/2015 These appeals were called on for hearing today.
CORAM :
HON'BLE MR. JUSTICE A.K. SIKRI HON'BLE MR. JUSTICE ROHINTON FALI NARIMAN For Appellant(s) Mr. K. Radhakrishnan, Sr. Adv.
Mr. A.K. Panda, Sr. Adv.
Mr. Aniruddha P.Mayee, Adv. Ms. Aruna Gupta, Adv.
Mr. Arijit Prasad, Adv.
Mr. B.K. Prasad, Adv.
For Respondent(s) Mr. K.R. Sasiprabhu, Adv.
Mr. Vishnu Sharma, Adv.
Mr. Jaydeep Patel, Adv.
Ms. Shilpa Balani, Adv.
UPON hearing the counsel the Court made the following O R D E R The civil appeals are dismissed in terms of the signed order.
Interlocutory application(s) pending, if any, is also disposed of accordingly.


          (Ashwani Thakur)                         (Renu Diwan)
           COURT MASTER                            COURT MASTER
(Signed order is placed on the file)