C.Ex. Duty liability on cloth covers for latex foam articles - Modification regarding - Central Excise - 15/87

C.Ex. Duty liability on cloth covers for latex foam articles - Modification regarding Circular No. 15/87 Dated 11-11-1987 [From F. No. 63/4/87-CX.1] Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : C.Ex. Duty liability on cloth covers for latex foam articles - Modification regarding. Representations have been received from the trade that cost of cloth covers used for covering rubber foam mattresses, pillows and cushions may not be included in the assessable value of the mattresses, pillows and cushions falling either under Chapter 40 or Chapter 94 of the C.E.T. as the Board's Circular letter - Rubber /5/68 dated 14-8-1968 clarified that the latex foam sponge should be assessed without cover, that is to say the value of the cover should not be taken into account for the purpose of assessment. 2. The matter has been re-examind in the Ministry in the context of the new tariff descriptions. In view of the tariff description of Heading 94.04, according to which mattresses, cushions, pillows, etc. whether or not covered, come within the purview of this heading. Thus mattresses, pillows, cushions etc. would be assessed to duty, if they are cleared without covers, as such, in which case the question of adding the cost of covers in the assessable value does not arise. However, if these goods are cleared with covers, whether assembled or un-assembled, the cost of such covers is required to be included in the assessable value of the mattresses, cushions, pillows etc. 3. Boards instructions contained in Circular letter Rubber/5/68, referred to above, may be considered as modified to the extent, discussed above.