TMI BlogThe provision of valuation under Section 4A of the Central Excise Act, 1944 would not be applicable on the goods, not intended for retail saleX X X X Extracts X X X X X X X X Extracts X X X X ..... The provision of valuation under Section 4A of the Central Excise Act, 1944 would not be applicable on the goods, not intended for retail sale - By: - Bimal jain - Central Excise - Dated:- 30-12-2014 - - Dear Professional Colleague, The provision of valuation under Section 4A of the Central Excise Act, 1944 would not be applicable on the goods, not intended for retail sale We are shari ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng with you an important judgment of the Hon ble CESTAT, Mumbai, in the case of Wyeth Ltd. Vs. CCE, Nasik [2014 (12) TMI 1026 - CESTAT MUMBAI on following issue: Issue: Whether the provision of valuation under Section 4A of Central Excise Act, 1944 would be applicable on the goods not intended for retail sale? Facts and background: Wyeth Ltd. ( the Appellant ) was engaged in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... manufacturing of toothpaste which is notified under Section 4A of the Central Excise Act, 1944 ( Excise Act ). The Appellant manufactured Aquafresh brand of toothpaste on job-work basis for Glaxo Smith Kline Asia Pvt. Ltd. ( Smith Kline ). The Appellant cleared a consignment of toothpaste which was intended for resale under Section 4A of the Excise Act. However another consignment of toothpast ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e which were given as free samples by Smith Kline along with the Horlicks manufactured and sold by them were cleared on Cost Construction basis in terms of the Hon ble Apex Court judgment in the case of Ujagar Print case. The Department contended that since the toothpaste is notified under Section 4A of the Excise Act , it should have been cleared as such. Accordingly, Show Cause Notice w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as issued and demands were confirmed by the Department. Being aggrieved, the Appellant preferred an appeal before the Hon ble CESTAT, Mumbai. Held: The Hon ble CESTAT, Mumbai after considering the provisions of the Standards of Weights and Measures Act, 1976 and Packaged Commodity Rules, 1977 and relying upon the decision in the case of Geoffery Manners and Co. Ltd. Vs. CCE [2006 (8) TMI ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 56 - CESTAT, MUMBAI] held that since the toothpaste were supplied as free sample' and were not meant for retail sale, the provisions of Standards of Weights and Measures Act, 1976 and Packaged Commodity Rules, 1977 would not apply at all and, therefore, the provisions of Section 4A of the Excise Act would also not apply. Hope the information will assist you in your Professional endeav ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ors. In case of any query/ information, please do not hesitate to write back to us. Thanks and Best Regards, Bimal Jain FCA, FCS, LLB, B.Com (Hons) Delhi: Flat No. 34B, Ground Floor, Pocket - 1, Mayur Vihar, Phase - I, Delhi 110091, India Desktel: +91-11-22757595/ 42427056 Mobile: +91 9810604563 Chandigarh: H.No. 908, Sector 12-A, Panchkula, Haryana 134115 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Kolkata: Ist Floor, 10 R G Kar Road Shyambazar, Kolkata 700 004 Email: bimaljain@hotmail.com Web: www.a2ztaxcorp.com Disclaimer: The contents of this document are solely for informational purpose. It does not constitute professional advice or recommendation of firm. Neither the authors nor firm and its affiliates accepts any liabilities for any loss or damage of any kind ari ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sing out of any information in this document nor for any actions taken in reliance thereon. Readers are advised to consult the professional for understanding applicability of this newsletter in the respective scenarios. While due care has been taken in preparing this document, the existence of mistakes and omissions herein is not ruled out. No part of this document should be distributed or copi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed (except for personal, non-commercial use) without our written permission. - - Scholarly articles for knowledge sharing authors experts professionals Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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