TaxTMI Login
AI Drafter - (New and Powerful) ✕
Generate professional replies, appeals, opinions to Show Cause Notices, assessment orders, audit objections, and other legal communications using TaxTMI's AI Drafter.
Just a moment...
AI Drafter - (New and Powerful) ✕ Generate professional replies, appeals, opinions to Show Cause Notices, assessment orders, audit objections, and other legal communications using TaxTMI's AI Drafter.
Press 'Enter' to add multiple search terms. Rules for Better Search
Use comma for multiple locations.
---------------- For section wise search only -----------------
Accuracy Level ~ 90%
of 
Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of Press 'Enter' after typing page number.
Issues: Whether, for the purpose of the first proviso to Rule 8 of the Pan Masala Packing Machine (Capacity Determination and Collection of Duty) Rules, 2008, manufacture of pouches bearing different retail sale prices within the same RSP slab amounts to commencement of manufacture of a new retail sale price so as to treat the same packing machine as an additional operating packing machine.
Analysis: The scheme under Section 3A of the Central Excise Act, 1944 and the PMPM Rules, 2008 fixes duty on the basis of deemed production per operating packing machine per month according to RSP slabs under Rule 5. The first proviso to Rule 8 applies where manufacture of goods of a new retail sale price is commenced on an existing machine. Reading Rule 5 and Rule 8 harmoniously, the expression new retail sale price was held to mean a retail sale price falling in a different slab, because treating different prices within the same slab as new RSP would result in repeated levy on the same machine for the same deemed production, which is not permissible.
Conclusion: The first proviso to Rule 8 was held not to apply where the pouches manufactured on the same machine fell within the same RSP slab, and the assessee was entitled to waiver of pre-deposit and stay of recovery.
Ratio Decidendi: Under the PMPM Rules, 2008, a new retail sale price for Rule 8 means a retail sale price in a different slab, not merely a different price within the same slab; otherwise the scheme would impermissibly impose duty more than once on the same deemed production.
TaxTMI 
