Directorate General of Valuation Central Board of Excise & Customs Government of India

Order No.C-II/49/WZB/2004 dt. 27.8.2003/6.1.2004

2004 (63) RLT 208 (CESTAT-Mum.)
(In the Customs, Excise & Service Tax Appellate Tribunal, Mumbai)

Present: Shri Gowri Shankar, Member (Technical)
Shri Krishna Kumar, Member (Judicial)

BRITISH PRINTING PRESS
Versus

CCE, NASIK
(Final Order No.C-II/49/WZB/2004 dt. 27.8.2003/6.1.2004
in Appeal No. C/350/2000-Mum.)

Assessable value – Customs- Section 14 of Customs Act, 1962 -Second hand machines- declared value enhanced by the deptt. on the basis of Chartered Engineer’s certificate being lower than the value that has been determined by accepting the Board’s circular dated 19-11-1987 has to be confirmed. (Para 6)

Para 6 : How then the valuation of the machine be determined? The Board’s Circular No. 493/1124/86-Cus.-III dated 19.11.1987 provides guidelines for valuation of second hand machinery on the basis of cost of manufacture, being reduced by depreciation the year of use subject to the maximum of 70%. The depreciation of 70% is to be arrived at by the end of seven years. The Additional Commissioner himself mentions that by applying this criteria contained in the circular and valuing the goods by 30% of the original value, a value higher than that cited in the chartered engineer’s report will be arrived at. The representative of the appellant agrees that the value given so arrived at, based on depreciation from the cost of manufacture is acceptable. This being the case therefore the value that has been determined in the impugned order, being lower than the value that has been determining by accepting the Board’s circular has to be confirmed.

Company Name and Address: 
BRITISH PRINTING PRESS Vs CCE, NASIK