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Transaction value: Recourse to Rules

Transaction value: Recourse to Rules

A.Where value cannot be determined u/s 15(1), i.e., when:

1.Price is not the sole consideration

2.Supplier-recipient are related persons: Recourse to Rules even if the Supplier-Recipient relationship:

  • Did not influence the price;
  • Precedes agreement to the supply;
  • Has no bearing on pricing;
  • Has no bearing on Agreement to the Supply;
  • Has no relevance to the Supply;
  • Was to meet with different criteria or purpose;

(Rules will apply both ways – supplier to recipient and recipient to supplier)

B.In case of notified supplies