C.C.E. Vs. KERALA STATE ELECTRONICS DEV.

JUDGEMENT

(1.) THIS appeal is by the department against the order of the C.C.E. (Appeals), Madras. Under the impugned order, the Collector has held that the commissioning charges could not be included for the purpose of arriving at the assessable value.

(2.) THE learned DR pleaded that the appellants have sold the goods under a stipulation that while 80% of the value of the goods will be paid at the time of the clearance, the balance amount will be paid by their customers only after the commissioning of the clock system. It should, therefore, be presumed that the sale is completed only after the commissioning of the goods. We have put it to the learned DR whether the clock system as such when it is cleared from factory is capable of functioning as such and at the time of clearance of the goods, the excisable goods as such had come into existence for the purpose of levy. He has pleaded that while this is so, the fact remains that commissioning is the part of the contract and therefore, the commissioning charges should be included in the assessable value. In this regard, we observe that the learned lower authority has held as under: -

(3.) NONE is present for the respondents. There is also no request for adjournment.