CA Bimal Jain
Dailmer Chrysler India Pvt. Ltd. (the Appellant) is the subsidiary company of Daimler Chrysler AG, Germany. The parent company of the Appellant had imported three cars into India against an ATA Carnet for the purpose of exhibition at Auto Expo. These cars were sold to the Appellant after the permission from the Government.
The value declared on Bills of Entry was substantially lower than that on the Carnet document. The Carnet document provides for declaration of value which is the commercial value in the country of its issue. The Adjudication Authority had rejected the transaction value on the ground that the value declared in the Carnet is much higher and thus ordered that the assessable value would be inclusive of Carnet price, Insurance, Freight and Landing Charges.
The Hon’ble CESTAT, Mumbai held as under:
Therefore, the Hon’ble Tribunal held there is no reason to differentiate between the cars imported under Carnet and the cars imported otherwise. Valuation under Section 14 of the Customs Act clearly provides that the value shall be the transaction value where the buyer and seller are not related.
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