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TMI Blog2011 (3) TMI 372X X X X Extracts X X X X X X X X Extracts X X X X ..... how that Appellants are receiving any extra consideration from customers over and above the printed sale price on the goods hence the inclusion of cost of incentives received from the supplier of raw material i.e. from Coca-Cola to the assessable value is not sustainable particularly when the goods are assessable under Section 4 of the Act - Appellants are filing necessary returns regarding payment of duty on the basis of M.R.P, and when the M.R.P. was reduced the same was reflected in the monthly returns hence the allegation of suppression with intent to evade payment of duty is also not sustainable - Appeal is allowed - E/634/2008 - A-56/KOL/2011 - Dated:- 1-3-2011 - S/Shri S.S. Kang, S.K. Gaule, JJ. REPRESENTED BY : Shri J.P. Kh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... irmed the demand and imposed penalties. 3. Contention of Appellant is that the goods manufactured by the Appellant are liable for duty under Section 4A of Central Excise Act with reference to the M.R.P. (Maximum Retail Price) thereon less the amount of abatement notified by the Government. There is no evidence on record to show that the goods manufactured by the Appellant were sold for higher consideration than the declared M.R.P. as no amount was collected or realized from any customer over and above the declared M.R.P.. It is also submitted that there is no provision under the law to increase the declared M.R.P. by the amounts received from the seller of raw material by way of discount and incentive. The said amount paid by the seller o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Appellants were regularly filing monthly returns showing the payment of duty on the M.R.P. basis even when the M.R.P. is reduced the same has been reflected in the monthly returns. Hence allegation of suppression is not sustainable. The appellant relied upon the decision of Hon ble Supreme Court in the case of Commissioner of C.Ex., Meerut-I v. Bislery International Pvt. Ltd. - 2005 (186) E.L.T. 257 (S.C.). 6. Contention of Revenue is that as the Appellant received the re imbursement of the consented price on, reduction of M.R.P. which is additional consideration similarly other incentive or re-imbursement which are directly relating to the price of the finished goods which were re-imbursed by the supplier of the raw material hence these ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The Central Government may, for the purpose of allowing any abatement under sub-section (2), take into account the amount of duty of excise, sales tax and other taxes, if any, payable on such goods. [(4) Where any goods specified under sub-section (1) are excisable goods and the manufacturer - (a) removes such goods from the place of manufacture, without declaring the retail sale price of such goods on the packages or declares a retail sale price which is not the retail sale price as required to be declared under the provisions of the Act, rules or other law as referred to in sub section (1); or (b) tempers with, obliterates or alters the retail sale price declared on the package of such goods after their removal from the place of ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tive was given by the supplier of raw material and the raw material has already suffered appropriate duty. The Hon ble Supreme Court in the case of Commissioner of Central Excise, Meerut-I v. Bisleri International Pvt. Ltd. - 2005 (186) E.L.T. 257 (S.C.) while interpreting the provisions of Section 4 of Central Excise Act held that the amounts received under credit notes as incentive from the supplier of raw material and in absence of any evidence of flow back of any additional consideration from the buyers of the final product to the manufacturer, are not to be taken into consideration while arriving at the assessable value under Section 4 of the Central Excise. 9. Further we find that as per provision of Section 4A of the Act, the speci ..... X X X X Extracts X X X X X X X X Extracts X X X X
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