Flipkart Gets Relief as CESTAT Rejects Customs’ Enhanced Valuation of Imports

The CESTAT Mumbai held that customs authorities cannot increase the value of imported goods without proper proof of undervaluation.

In this case, Flipkart imported power banks and declared their price, but the department increased the value based on data from other imports and imposed penalties.

The Tribunal found that authorities relied on a single unrelated transaction and did not follow proper valuation rules. 

It also noted there was no evidence of mis-declaration or extra payment. Therefore, the enhanced valuation, confiscation, and penalties were set aside, and Flipkart’s appeal was allowed.

[Flipkart India Pvt. Ltd. v. Commissioner of Customs (Import)]