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Rule 29 covers supply of goods made through an AGENT. Value is:
AAlways cost plus 10%
BOpen market value or 90% of price charged by the agent to his customer (un-related, for like kind), at supplier's option
CAlways nil
DAlways per Rule 30
Answer & Solution
Correct answer: B. Open market value or 90% of price charged by the agent to his customer (un-related, for like kind), at supplier's option
1. Rule 29(a) — open market value of the supply, OR at the supplier's option, 90% of the price charged by the agent to his customer (where the customer is not related and goods are of like kind and quality).
2. Rule 29(b) — if (a) is unavailable, fall back to Rule 30 or Rule 31 sequentially.
3. This recognises typical principal-agent commercial economics.
_Source: ICAI BoS CA Final Paper 8, Ch 5 "Value of Supply", §Rule 29_
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