2013 (5) TMI 800

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....are notified under Section 4A and the trade packs are sold on the basis of MRP, Revenue entertained view that the value for the purpose of assessment of physician samples should be arrived on the basis of MRP of trade packs. Proceedings were initiated by issue of show cause notices for different periods which has culminated in confirmation of differential duty of Rs. 7,53,772/- with interest. Penalty equal to the duty has also been imposed. 2. The learned counsel for the appellant submitted that in this case physician samples were not sold and therefore the value has to be determined on the basis of Rule 8 of the Central Excise Valuation Rules and accordingly whatever has been done by the appellant is correct. He relies upon the dec....

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....job-worker, but are transferred to some other place from where the said goods are to be sold after their clearance from the factory of job-worker and where the principal manufacturer and buyer of the goods are not related and the price is the sole consideration for the sale, the value of the excisable goods shall be the normal transaction value of such goods sold from such other place at or about the same time and, where such goods are not sold at or about the same time, at the time nearest to the time of removal of said goods from the factory of job-worker; (iii) in a case not covered under clause (i) or (ii), the provisions of foregoing rules, wherever applicable, shall mutatis mutandis apply for determination of the value of the ....

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.... any case on merits. Accordingly, we direct the appellant to deposit the entire amount of differential duty demanded. At this stage, the learned advocate pointed out that the appellant has pleaded financial difficulty and the appellants have been making loss during the past period and relies on the balance sheet. However on going through the balance sheet, we find that the appellant's financial position has been improving marginally and further, appellants also have got bank balance and investments, etc. Further it is also seen that they are not making cash losses. In these circumstances, we do not find that the financial difficulties to be so severe that the appellant cannot deposit the differential duty demanded. However, having regard to....