Bulk sale of ice-cream to hotels/restaurants – MRP applicable
In Circular No. 625/2002, the CBEC clarified that in respect of bulk sale of ice-cream to hotels/restaurants, which are not meant for retail sales as such, the provisions of the Standards of Weights and Measures Act will not apply.
But now Board has changed its opinion based on a feed back from the Legal Metrology Department. And so Board now clarifies that bulk sale of ice cream in packages to hotel/catering industry etc. is required to comply with the provisions of Standards of Weight & Measures (Packaged Commodities) Rules, 1977, and accordingly, the assessee is required to declare the retail sale price on such packages.
What about MRP articles sold at much higher prices at airports and inside aircrafts?
CIRCULAR NO. , Dated: January 17, 2007