COMMNR. OF CENTRAL EXCISE, AURANGABAD vs M/S.GOODYEAR SOUTH ASIA TYRES P. L.&ORS.

The Supreme Court addressed the valuation of goods for excise duty under Section 4 of the Central Excise Act, 1944, determining that the selling price of related persons, CEAT and Goodyear, should be considered as the assessable value. The Court upheld the show cause notice issued for differential duty due to alleged undervaluation, confirming the applicability of Rule 5 of the Central Excise (Valuation) Rules, 1975. The appeals were dismissed, affirming the demand for excise duty amounting to Rs. 8,76,85,385/- for the specified period.