MRP VALUATION

[Tushar Dhakate]

how can calculate Excise Duty uner MRP Price.

[sv bhasker]

Sir

Notification No. 49/2008 CE (NT) dt 24.12.2008 issued under Section 4A of CE Act,1944 gives the list of items covered under MRP assessment and the % of abatement available. If MRP is Rs 100,abatement is 35%, then duty is calculated on Rs 65.

AI Summary

MRP assessment: duty computed on net retail price after the prescribed abatement under the controlling notification.
MRP assessment is governed by a notification listing goods subject to MRP-based valuation and prescribing abatement percentages; the abatement is applied to MRP to arrive at the net assessable value, and excise duty is calculated on that net value.