TIOL-DDT 1672 · Friday, 12 August 2011

Jurisprudentiol – Tuesday's cases

Exemption under rule 34 of SWAM Rules is available only if goods are sold by weight or measure - Lipsticks although weighing 2.2 gms are sold not by weight but on ‘per piece' basis - Goods to be assessed in terms of section 4A of CEA, 1944 for purpose of charging CVD: CESTAT

APPELLANT submitted before original authority that for the purpose of charging CVD on the imported goods transaction value under section 4 of the Central Excise Act, 1944 should be taken as assessable value and assessment should not be done on the basis of MRP under section 4A of the Act as Lip sticks weighing 2.2 gms a pc were not subject to Standard of Weight and Measures Act, 1976. Additional Commissioner of Customs did not accept importer's pleas on the ground that non application of MRP in such case shall hold good only if the subject goods are sold by weight.

Whether AO is required by law to substitute even fair rent determined u/s 23(1)(a) by standard rent - NO, says ITAT

THE issues before the Tribunal are - Whether notional interest attributable to interest-free securities is taxable; Whether AO is required to substitute even the fair rent determined u/s 23(1)(a) by municipal value or standard rent and whether AO can determine ALV on its own and has power to discard the ratable value or standard rent. NO is the Tribunal's answer.

Rasana Rozana Amrit drink mix is properly classifiable under heading 2001.10: CESTAT

WHILE deciding the classification it has to be kept in mind that Chapter 21 deals with the edible preparations, not elsewhere specified or included. As such, if the product is otherwise covered by the description 20.01, the same would not fall under the heading 21.08, inasmuch as the same is a residuary entry. Chapter heading 20.01 covers the preparation of various products including preparation of fruit juices.

See our columns Tuesday for the judgements

Until Tuesday with more DDT

Have a Nice Weekend.

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