1. In these matters, the question is whether freight and insurance charges are to be included in the assessable value for the purposes of excise. This question is covered by the judgment of this Court in the case of Escorts JCB Ltd. v. Commissioner of Central Excise, Delhi-II (2002) 146 ELT 31. [LQ/SC/2002/1092] The only difference which has been pointed out is that in the Escorts case (2002) 146 ELT 31 [LQ/SC/2002/1092] the sale was at the factory gate whereas in these cases, the sale is from the depot. Learned counsel for the appellants admit that the freight and insurance charges up to the depot would be includible in the assessable value for the purposes of excise. However, the sale being at the depot, the freight and insurance for delivery to the customers from the depot would not be so includible as per the said judgment.
2. With the above clarification, the appeals stand allowed. Appeals allowed.
Prabhat Zarda Factory Limited v. Commissioner Of Central Excise
Prabhat Zarda Factory Limited v. Commissioner Of Central Excise
(Supreme Court Of India)
CA No. 4808-4808 of 2002, with CA Nos. 1858-1859 of 2001 | 14-11-2002
Advocate List
Bench
- HON'BLE MR. JUSTICE B.N. AGRAWAL
- HON'BLE MR. JUSTICE S.N. VARIAVA
Eq Citations
- 2002 (146) ELT 497 (SC)
- (2016) 1 SCC 652
- [2003] 130 STC 96 (SC)
- LQ/SC/2002/1188
Head Note
Excise — Valuation — Freight and insurance charges — Inclusion in assessable value — Clarified — Freight and insurance charges up to depot would be includible in assessable value for purposes of excise — However, sale being at depot, freight and insurance for delivery to customers from depot would not be so includible — Escorts JCB Ltd., (2002) 146 ELT 31 — Incorporated
