9911796707
TMI Blog2017 (10) TMI 335X X X X Extracts X X X X X X X X Extracts X X X X ..... nt to the branches initially for the purpose of evaluation/display as marketing strategy before commencement of their bulk commercial production. Though it is true that retail price was declared for the subject goods, the appellant admits that the goods were initially cleared for evaluation/display to the depots/branches of the appellant and finally sold to their employees at less than the retail price declared. When the subject goods are not factually meant for sale in the market in the normal course, the appellant s pleading that they have declared retail sale price, which has been the sole consideration for sale to the ultimate consumer, cannot make them entitled to the benefit of Notification No.6/2002 dated 1.3.2002 for clearance of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt proposed penalty under Rule 25 of the Central Excise Rules, 2002 and Section 11AC, apart from charging interest under Section 11AB of the Central Excise Act, 1944. (vi) The Assistant Commissioner adjudicated the show-cause notice confirming the duty demand along with interest and imposing equivalent penalty. (vii) The appellant went in appeal before the Commissioner (A), who sustained the Order-in-Original passed by the Assistant Commissioner. Therefore, the appellant is now before this Tribunal. 3. Both sides have been heard. 4. After having carefully considered the facts of the case and submissions of both sides, it appears that the subject goods are not the standard products of the appellant but are modified / improved versions w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ement of either their bulk commercial production or before launching of new models to the market. Thus, when the subject goods are not factually meant for sale in the market in the normal course, the appellant s pleading that they have declared retail sale price, which has been the sole consideration for sale to the ultimate consumer, cannot make them entitled to the benefit of Notification No.6/2002 dated 1.3.2002 for clearance of their goods at the rate of duty at 16% under its Col. No.(i). In this regard, the impugned order in the findings part inter alia observes as under: "In the instant case, it is an admitted and undisputed fact that the impugned goods are not the standard products of the appellant but are of modified/improved versi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... print maximum retail price on package at time of clearance from factory as per Standards of Weights and Measures Act, 1976 - Price affixed at depot and goods cleared thereof with the purpose of getting over payment of higher duty - Sale price charged from buyers, as affixed at depot does not cease to be sole consideration for such sale notwithstanding free gifts offered by assessee on sale of CTVs - Offer of gifts only incidental benefits and not part of consideration to be paid in regard to TV sets as such - Duty payable @ 18% ad valorem. [para 6] Practice - Change of practice by assessee - Evasion of duty - Earlier assessee paying duty @ 18% ad valorem on maximum retail price - Only after 2-6-1998 change sought by not printing price on ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
