AUTO PART (LOOSE)

[DEEPAK SHARMA]

We are registered with Central Excise Department, there is our brand and we sale goods in packed form and reveal MRP on products and discharging excise duty on MRP. sometimes our buyer order us that please supply the goods without packing or marks on products, and discharge excise duty on transactio value

Is it  correct that, same products we are saling in packed form and discharging excise duty on MRP and same products we sale in loose without any packing or marks on products and paying excise duty on transaction value. please clarify the matter.

[YAGAY andSUN]

By not applying the provisions of Legal Meterology Act, your company is committing offence.  Legal Meterology Department may initiate penal actions against your company.  Further, Central Excise Department may book your company in offence case for non compliance.

It is advisable to pay the appropriate Central Excise Duty and do not indulge in such kind of short term gain to loose the long term benefits.

AI Summary

Legal Metrology compliance: selling identical goods packaged with MRP and loose without markings risks penal and excise offence proceedings. Non-compliance with the Legal Metrology Act arises where identical goods are sold both in packaged form with MRP and as loose goods without packaging or markings while discharging excise on different bases. This practice exposes the trader to penal action by the Legal Metrology department and to offence proceedings by the Central Excise authorities for failure to comply with packaging and labelling rules.