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1 - 5 of 5 (0.24 seconds)Industrial Oxygen Co. Ltd. vs Commissioner Of Central Excise And ... on 19 June, 2001
In this view of the matter, the decisions in the case of Indian Oxygen (supra) will be directly applicable as a factory gate price is available in this case. In the light of the case law discussed above, we set aside the impugned order and allow the appeal."
Section 3 in The Central Excise Act, 1944 [Entire Act]
The Central Excise Act, 1944
Cce vs Midi Tools Pvt. Ltd. on 20 November, 2000
6. The reliance placed by the ld. Consultant for the Revenue on the Tribunal's Larger Bench decision in the case of CCE v. Taparia Tools Ltd. [2001(131)ELT 306 is misplaced. In that case, Taparia Tools Ltd. were selling their product at the factory gate to independent buyers and they were also clearing goods to their depots and selling there from at different prices. On the basis of evidence placed on record,they claimed that the dealers at different places were different classes of buyers. The Tribunal observed that the question whether a wholesale buyer or dealer in a separate class of buyer or not, is a question of fact which has to be decided on appreciation of the entire evidence. In our view, this decision does not lay down the principle of law that in all case, dealers' buying from the depots should be treated as class of buyers different from those buying at the factory gate. In the present case, there is no factual basis to treat dealers in different States as separate class of buyers - the terms and conditions of sale are identical for dealers located in various States, there is no uniform maximum retail price inclusive of local tax for the appellants' goods through out the country; the basic price to the dealers and dealers basic price to customers are always prior to levy of local tax and local sales tax and other local levies are charged extra and are to the buyers' account and are shown separately in the invoice raised by the appellants on their dealers. Thus, this is not a case where there is one fixed retail price inclusive of local tax throughout India and the purchase prices varies from State to State depending upon the location of the dealer. In other words, the location of the dealer and the local tax element payable by him has no bearing on the prices charged by the appellants from their dealer from sales of motor vehicles and in these circumstances, no basis exists for treating dealers in different states as different class of buyers. While it is true that the net dealer price at the depot is slightly higher than the net dealer price at the factory gate, the difference is explained as entirely due to the cost of transportation, insurance and temporary local registration charges of Rs. 30/- and in addition a small amount is included in the ex-depot price to cover the operative expenses incurred by the depot. In other words, the landed cost to the dealer at his premises will be the same when he buys the goods directly from the factory or from the depot and this would also go to show that in the present case, the dealers in different States belong to the same class of buyers.
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