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2022 (9) TMI 431 - AT - Central ExciseValuation - demand of differential duty - PP medicaments falling under Chapter 30 of Central excise Act - physician samples sold - to be valued at Pro rata on MRP Basis or not - Section 4A of Central Excise Act, 1944 - HELD THAT:- The fact of the case is not under dispute that the appellant have sold the Physician Sample of PP medicine on Principle to Principle basis to the Brand Owner. Therefore, the valuation under Section 4 (1) (a) was correctly done by the appellant. The proposal by the department that the valuation should have been done by the appellant on Pro- rata of MRP is not applicable in the present case for the reason that such valuation was already opted by the appellant in case of removal of goods manufactured on job work basis for the reason that the said transaction does not involve sale. Since in the present case the transaction is clearly of sale on Principle to Principle basis, the principle of pro rata of MRP shall not apply. From the judgment, in the case of SOFTECH PHARMA PVT. LTD. VERSUS C.C.E, & S.T. - DAMAN (VICE-VERSA) [2019 (5) TMI 575 - CESTAT AHMEDABAD], it is settled that in case of manufacture and sale of Physician Sample valuation is governed under Section 4 (1)a) of central Excise Act, 1944. Therefore, the issue is no longer res- integra. Appeal allowed - decided in favor of appellant.
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