Circular No. 813/10/2005-CX
25th Apirl, 2005
F.No. 209/30/2003-CX 6
Government of India
Ministry of Finance
Department of Revenue
Central Board of Excise & Customs
Subject:- Clarification with regards to valuation of the goods, reg.
I am directed to refer to Board”s letter No. 6/39/2000-CX.I dated 1.7.2002 clarifying certain points relating to the Central Excise Valuation ( Determination of Price of Excisable Goods) Rules,2000.
2. A number of references seeking further clarification on some of the points clarified in the Circular mentioned in para 1 above have been received in the Board. These points are being clarified in the table enclosed. These clarifications supercede the clarification given in above referred circular.
3. Trade Notices may be issued for the benefit of the Trade.
4. Hindi version will follow.
5. Receipt of this circular may kindly be acknowledged.
Under Secretary to the Govt. of India
Dated the 25th Apirl, 2005
Point of Doubt
|1.||13||How will valuation of samples be made done which are distributed free, as part
of marketing strategy, or as gifts
|In case of free samples, the value should be determined under Rule 4 of Central Excise Valuation
( Determination of Price of Excisable Goods) Rules, 2000.
|2||14||How will valuation be done when inputs
or capital goods, on which CENVAT
credit has been taken, are removed as such
from the factory, under the erstwhile
sub-rule (1C) of rule 57AB of the
Central Excise Rules, 1944or under rule
3 (4) of the Cenvat Credit Rules, 2001
In such situations, the provisions of Rule 3(5) of Cenvat Credit Rules, 2004 would apply.