Powered by InfodriveIndia.com

Valuation of Goods cleared in DTA by EOU’s , Central Excise Circular No. 933/23/2010, 16-08-2010


Date: 16-08-2010
Notification No: Central Excise Circular No. 933/23/2010
Issuing Authority: Central Excise  
Type: Circular
File No: F No 06 / 06/2010-CX.1
Subject: Valuation of Goods cleared in DTA by EOU’s

Government of India
Ministry of Finance
Department of Revenue
Central Board of Excise and Customs

Circular No 933 /23 /2010-CX

New Delhi the,16th August 2010

To,

All the Chief Commissioners of Central Excise
All the Chief Commissioners (LTU)
All the Director Generals
All the Commissioners & Commissioner (Appeals) of Central Excise.

Subject: Valuation of Goods cleared in DTA by EOU’s.

Board has received references seeking clarification with regard to the valuation of goods cleared from an EOU for sale in DTA, when actual sale transaction does not take place at the time of clearance but on a subsequent date. In such cases 100% of the goods are cleared from the EOU to depot from where the sale is effected through consignment agents. CBEC has earlier issued Circular No 268/85-CX.8 dated 29. 09.1994, clarifying that valuation of goods in such situations will have to be done in accordance with the Rule 8 of the Customs Valuation Rule (Determination of Price of Imported Goods), 1988 as it existed then.

2. The issue has been re-examined. As per the proviso to Section 3(1) of the Central Excise Act, 1944, the value of such goods need to be determined in terms of section 14 of the Customs Act, 1962, read with Customs Valuation Rules (Determination of Price of Imported Goods), 2007.

3. In terms of the said rules the value will have to be determined by sequential application of Rules 3 to 9. The same view has been expressed by the CESTAT in following cases

    - Endress Hauser Flowtec (I) Pvt Ltd. [2009 (237) ELT 598 (T)]

    - Morarjee Brembana Ltd. [2003 (154) ELT 500 (T)]

    - Uniworth Textile Ltd. [2009 (244) ELT 401 (T)]

5.0 In view of the position prevailing under Customs Valuation (Determination of Value of Imported Goods) Rules, 2007, and the decisions of tribunal on the subject earlier Board Circular No 268/85- CX.8 dated 29.09.1994 on the subject is withdrawn. The field formations may follow the provisions of Customs Valuation (Determination of Value of Imported Goods) Rules, 2007 in such situations

6. Trade and field formations may be informed accordingly.

7. Hindi version will follow.

Yours faithfully

Sanjiv Srivastava
Director (CX.1)
F No 06 / 06/2010-CX.1

       


Enquiry Form

Fields marked with an asterisk * are required.

 




What is New?

Date: 28-05-2015
RBI//2014-15/615 A.P. (DIR Series) Circular No.104
Exim Bank's GoI supported Line of Credit of USD 100 million to the Government of Republic of Mali

Date: 28-05-2015
RBI/2014/15/616 A.P. (DIR Series) Circular No. 105
Deferred Payment Protocols dated April 30, 1981 and December 23, 1985 between Government of India and erstwhile USSR

Date: 28-05-2015
Customs Notification No. 35/ 2015
seeks to further amend notification no 12/2012 - Customs dated 17/03/2012

Date: 28-05-2015
Central Excise Notification No 31/2015
Seeks to further amend notification no 12/2012 - Central Excise dated 17/03/2012

Date: 27-05-2015
Notification No. 23/2015-Customs (ADD)
Seeks to levy definitive anti-dumping duty on imports of Purified Terephthalic Acid, originating in or exported from Korea RP and Thailand for a period of five years from the date of imposition of provisional anti-dumping duty i.e. 25th July, 2014

Date: 26-05-2015
Trade Notice No.02/2015
Updation of Importer-Exporter Profile regarding.

Date: 26-05-2015
Customs Circular No 17/2015
Regarding Import, trading & re-export of rough diamonds by notified entities in Bharat Diamond Bourse, Bandra Kurla Cargo Complex, Mumbai

Date: 25-05-2015
Central Excise Notification No 30/2015
Seeks to further amend Notification No. 22/2003-Central Excise, dated the 31st March, 2003

Date: 25-05-2015
Central Excise Notification No 29/2015
Seeks to further amend notification No. 6/2005-CE dated 1.3.2005

Date: 25-05-2015
Customs Notification No. 34/ 2015
Seeks to further amend Notification No. 52/2003-Customs, dated the 31st March, 2003