Commissioner of Central Excise, Vs. Globe Scott Motors Pvt. Ltd. - Court Judgment |
| Customs Excise and Service Tax Appellate Tribunal CESTAT Mumbai |
| Mar-20-2001 |
| Commissioner of Central Excise, |
| Globe Scott Motors Pvt. Ltd. |
1. in the order impugned in this appeal, the commissioner (appeals) has held that the cost of the wooden case which were used by globe scott motors pvt. ltd., the respondent to this appeal, to pack the electrical motors manufactured by it, would not form part of the assessable value.the commissioner (appeals) has based his order on the finding of the assistant commissioner that the crates were used for transportation of the motors to distant destinations; distance places, for transport to places within a short distance, places the motors were packed in cardboard boxes.2. it is clear from this finding that the cardboard boxes were packing which was required for rendering the motors marketable. wooden cases were used required only where longer transportation requiring protection of the motors was involved. it is settled law [see government of india vs. madras rubber factory ltd. 1996 (77) elt 437] that it is only the cost of such packing that would be required to render the goods marketable which would from part of the assessable value.
1. In the order impugned in this appeal, the Commissioner (Appeals) has held that the cost of the wooden case which were used by Globe Scott Motors Pvt. Ltd., the respondent to this appeal, to pack the electrical motors manufactured by it, would not form part of the assessable value.
The Commissioner (Appeals) has based his order on the finding of the Assistant Commissioner that the crates were used for transportation of the motors to distant destinations; distance places, for transport to places within a short distance, places the motors were packed in cardboard boxes.
2. It is clear from this finding that the cardboard boxes were packing which was required for rendering the motors marketable. Wooden cases were used required only where longer transportation requiring protection of the motors was involved. It is settled law [See Government of India Vs. Madras Rubber Factory Ltd. 1996 (77) ELT 437] that it is only the cost of such packing that would be required to render the goods marketable which would from part of the assessable value.