TaxTMI 
TaxTMI 
2018 (6) TMI 117
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....llant is engaged in the manufacture of staplers which are liable to pay duty in terms of Section 4A of Central Excise Act, 1944 i.e. on MRP bases assessment. Therefore, the appellant is clearing these staplers on payment of duty in terms of Section 4A of the Act. During the period in dispute, a promotional scheme offered to its dealers. As per the said scheme, the appellants also cleared staple pins of specified quantity along with staplers manufactured in their factory. The value of these staple pins were included in MRP of the stapler cleared by the appellants. In other words, these staple pins were given free of cost along with staplers manufactured and cleared by the appellant. The appellants procured these staple pins from other manufa....
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....ave already discharged the duty thereon or cleared these goods availing the benefit of exemption notification from duty. The staple pins procured by the appellants are finished goods and in a marketable condition on which excise duty has been paid. No process incidental or ancillary to the completion of manufactured product was undertaken by the appellant, nor is there any Chapter note creating legal fiction of manufacture. Therefore, requirement of clause (i) and (ii) of Section 2 (f) of the Act are not fulfilled. Further, neither any packing nor repacking of these staple pins in any unit container nor labelling or re-labelling of the containers nor the declaration or alteration of retail sale price nor any other treatment on the goods to ....
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....(243) ELT 101 (Tri-Bang.), Himalaya Drug Company vs. CCE-2006 (195) ELT 109 (Tri.-Bang) and Surya Food & Agro Ltd. vs. CCE-2003 (156) ELT 488 (Tri.-Del.). 5. He further submits that the value of bought out staple pins is not to be included in the assessable value of staplers cleared as held by the Hon‟ble Apex Court in the case of Essel Propack Ltd. vs. CCE, Mumbai-III- 2011 (274) ELT 3 (SC). 6. He further submits that the reliance paced by the Revenue on the CBEC Circular No.673/64/2002-Cx dated 20.10.2002 is not applicable to the facts of this case as the said circular provide the value with regard to the valuation of multi-piece package and definition of multi-piece package as per Rule 2 (j) of Standards of Weights and Measur....
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....n 2 (a) to section 4A of the Central Excise Act, 1944 and para 5 of Multi-piece Package. Rule 2 (j) of Standards of Weights and Measures (Packaged Commodity) Rules, 1977 prescribed the definition of multi-piece package during the relevant period which is reproduced as under:- "(j) "multi-piece package" means a package containing two or more individual packaged or labelled piece of the same commodities of identical quantity, intended for retail sale, either in individual piece or the package as a whole" 12. On going through the said definition, we find that the multipiece package means a package containing two or more individual packaged or labelled pieces of the same commodities of identical quantity, intended for sale. Admittedly, st....
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....ESTAT is contained in paragraph 7 which reads as under : - "We have gone through the records of the case carefully. The appellants receive the gel and the shampoo in bulk and repack them in retail packages. Thereafter, the shampoo along with the free gel is bound together and the label is fixed on the product. We agree with the contention of the appellant that this process amounts to manufacture as per Chapter Note 5 to Chapter 33. Further, it is seen that both the products are covered under Section 4A and Standards of Weights and Measures Act. The ratio of Oswal Fats and Oils Limited (supra) is squarely applicable, in that case binds were packed along with soaps for free supply to buyers of soap. It was held that the additional package ....