9911796707
TMI Blog2018 (7) TMI 977X X X X Extracts X X X X X X X X Extracts X X X X ..... ld that:- It is not in dispute that cosmetics are statutorily mandated for the printing of maximum retail price on the product with appendant liability to be assessed under section 4A of the Central Excise Act, 1944 - The appellant has not been able to bring on record any evidence that these were to be used by anyone other than the final customer. The manner of distribution of these ‘free samples’ was also to be left to the entities in the marketing chain - the claim of the appellant that these were, not intended for sale to the ultimate consumer cannot be accepted, and they are required to comply with the printing of ‘maximum retail price’ and to discharge duty liability under section 4A of Central Excise Act, 1944 - demand upheld. Valu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... I)CE/ID/Commr(A)/Ahd dated 27 th February 2009 of Commissioner of Central Excise (Appeal-I) Ahmedabad of the disputes, one pertains to availment of CENVAT credit of Rs.. 32,510/- on toothbrushes procured between 13th March 2006 and 28th November 2006for free supply along with toothpaste, the second to valuation of cosmetics manufactured by them and cleared as free samples and the third to valuation of double pack of toothpaste as sales promotion. The differential duty arising from valuation of free samples and the undischarged liability to duty on the second tooth paste was ascertained to be ₹ 1,37,626/- by the original authority. 2. Placing reliance on the decision of the Tribunal in Commissioner of Central Excise, Ahmedabad-I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ste and not under any other description that would describe both the items as a set for acceptance of the price thereof as the correct assessable value; consequently, the definition of inputs in rule 2 (k) of CENVAT Credit Rules, 2004 cannot be extended to such toothbrush for availment of CENVAT credit. 5. It is the claim of the appellant that cosmetics cleared as free samples, not being for sale, should be subjected to assessment under section 4 of Central Excise Act, 1944. It is not in dispute that cosmetics are statutorily mandated for the printing of maximum retail price on the product with appendant liability to be assessed under section 4A of the Central Excise Act, 1944. In re Acme Healthcare, the Tribunal accepted the claim of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gainst the appellant solely on the presumption that the duty liability of ₹ 48,754/- paid by them on such clearances between 5th June 2005 and 2nd February 2006 was restricted to only one of the pair with discharge of duty liability of ₹ 48,754/- on the other yet to fulfilled. It is mere presumption that the maximum retail price should correspondingly be doubled for assessment. Whether the tooth paste is sold as a single piece, or intended for sale is as a pair, is best left as a business decision of the manufacturer and, to the extent that the price has been declared on the package containing the combined set, the assessable value cannot be enhanced without any evidence of additional consideration flowing back. There is no evid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... goods distributed free along with shoe polish without bearing any MRP on the packets are assessable under Section 4 of the Central Excise Act and not under Section 4A of the Central Excise Act and not under Section 4A of the Central Excise Act. The Tribunal relied upon the Board Circular No. 625/16/2002-CX, dt. 28-2-2002 6. Further, in case of Rallis India Ltd. v. CCE Nagpur reported in 2007 (212) E.L.T. 103 (Tribunal) = 2007-TIOL-324-CESTATMum, it was held that the small boxes of pesticides cleared by the assessee for free supply to farmers along with BT cotton seeds are required to be assessed under Section 4 and not under Section 4A of the Act. It was also held that the Board s circular had not been withdrawn and as per the settled ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
