Custom valuation Rule 4 will not apply if Import is without monetary consideration: SC

Brief of the Case In the Case of M/s GMR Energy Ltd vs. Commissioner of Customs, Bangalore, Hon’ble Supreme Court while dealing with the appeal of the assessee and of the revenue held that Rules 4 and 9 of the Custom Valuation Rules, 1988 would only apply in case imported goods are “sold” for export to India. It is clear under the terms of LTAPSA that parts are to be replaced without any further charge after a certain number of hours of the running of the power plant. There is no sale in the present case as the assessee has not made any payment for the imported goods separately. Further ...