Central Excise Valuation Rules
-
Upload
manish-mohan -
Category
Economy & Finance
-
view
213 -
download
4
Transcript of Central Excise Valuation Rules
Central Excise Valuation
Manish MohanAdditional Commissioner
A PresentationBy
Introduction Excise Duty: A duty on manufacture –
actual payment postponed till clearance.
Requirements: 1. Movable & Marketable 2. Figuring in Tariff 3. Should be manufactured. (Sec 3 of the CEA, 1944)
Method of Collection: Explanation to Sec 3(1) of the CETA, 1985.
Concept of Valuation, Ad-valorem or on the basis of unit of quantity.
History of Valuation
Prior to 01.10.1975 (Wholesale Cash Price) Voltas case and dispute in determination of it.
From 01.10.1975 to 01.07.2000 (Normal Price) Bombay Tyre Intl. and MRF cases and dispute of Post Manufacturing & Post Removal Expenses.
Section 4 of the Central Excise Act, 1944
01.07.2000 and after: Transaction Value on the line of the Section 14 Customs Act, 1962.
Transaction Value to be accepted on the conditions: 1. Goods sold at the time & place of removal. 2. Assessee & Buyer not related. 3. Price is the sole consideration of sale.
Central Excise Valuation Rules, 2000
Valuation Under Section 4 of the Act (Chart 1)
Valuation Under Section 4(1)(b) of the Act (Chart 2)
Valuation Rules (Provisions) The Flow Chart of the Valuation Rules,
2000
MRP Based Valuation Under Section 4A of the Act RST to be declared on the package. Must be notified by the Government. Valuation on RSP less abatement. Central Excise (Determination of Retail Sale
Price of Excisable Goods) Rules, 2008 (Provisions)
Thanks
6