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2016 (8) TMI 940 - AT - Central ExciseValuation - Demand of differential duty - appellant's paying duty on MRP basis only on the food processor basic unit whereas bundled food processor accessories into a separate packing with a separate MRP but paid duty on the accessories under the transaction value - whether the food processor basic units as well as accessories are to be assessed together under MRP - Held that:- accessories when packed separately, do not contain any electric motor. It is common knowledge that the accessories can function only in conjunction with the basic food processor unit, which contains the motor. These accessories are specifically designed to work with the food processor and cannot be used inter-changeably with any other machine. It is also obvious that the food processor basic unit is of no use to the customer without the accessories, which are essential for exploiting the entire function of the food processor. This leads us to the reasonable conclusion that the bifurcation of the complete food processor into basic unit and other essential parts described as optional accessories and packed in separate boxes and marked with separate MRPs and cleared in equal numbers, has been done with the purpose of wrongly claiming lower rates of excise duty under Section 4 for the accessories. Accordingly, the food processor basic unit along with the accessories are to be assessed together as electric mechanical domestic appliance with self contained electric motor and are chargeable to duty on MRP basis. Consequently, the demand for differential duty upheld. - Appeals disposed of
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