A1. Introduction
A2. Text of Amendment to Section 3 of Customs Tariff Act
B. List of Items under MRP Based CVD
A1. Introduction
As
of
Excise duty on the same domestic goods (among others) is also levied on the basis of MRP. (On other goods, excise may be levied on the basis of the so-called assessed ex-factory value). Imports are, in this respect, treated in just the same way as Indian products.
An
important amendment made in section 3 relates to the valuation (for the
purposes of additional duty) of packaged commodities imported into
The provision is applicable to goods:
(a) where it is the requirement either of the Standards of Weights and Measures Act or any other law to declare the retail sale price on the package (before clearance for home consumption); and
(b)
like goods manufactured in
In such cases, the value of the goods would be the maximum retail price (declared on the package) minus the abatement notified for like domestic goods under section 4A.
Both
these provisions have been declared under the Provisional Collection of Taxes Act
and come into force on
A2. Text of Amendment to Section 3 of Customs Tariff Act
Scope
of MRP based assessment
The
extract from Section 3 of the Customs Tariff Act 1975 is given below:
( a) in relation to which it is required, under the provisions of the Standards of Weights and Measures Act, 1976 or the rules made thereunder or under any other law for the time being in force, to declare on the package thereof the retail sale price of such article; and
( b) where the like article produced or manufactured in India, or in case where such like article is not so produced or manufactured, then, the class or description of articles to which the imported article belongs, is the goods specified by notification in the Official Gazette under sub-section ( 1) of section 4A of the Central Excise Act, 1944, the value of the imported article shall be deemed to be the retail sale price declared on the imported article less such amount of abatement, if any, from such retail sale price as the Central Government may, by notification in the Official Gazette, allow in respect of such like article under sub-section ( 2) of section 4A of the Central Excise Act, 1944.
Explanation. - Where on any imported article more than one retail sale price is declared, the maximum of such retail sale price shall be deemed to be the retail sale price for the purposes of this section.".
[Ref: Clause 110(b) of Finance Bill 2001]
B. List of
Items under MRP Based CVD
The notification lists 144
items which are subject to MRP based excise duty payment. The notification
provides for abatement of retail price by 15 to 55 percent for arriving at
value on which excise duty will be calculated.
[Ref:
49-Central Excise (Non-Tariff) dated 24 December 2008]
In exercise of the powers conferred by sub-sections
(1) and (2) of section 4A of the Central Excise Act, 1944 (1 of 1944) the
Central Government, in supersession of the notification of the Government of
India in the Ministry of Finance (Department of Revenue) No.14/2008-Central
Excise (N.T.), dated the 1st March, 2008, published in the Gazette
of India Extraordinary, vide number G.S.R. 147(E) of the same date, except as
respects things done or omitted to be done before such supersession, hereby
specifies the goods mentioned in Column (3) of the Table below and falling
under Chapter or heading or sub-heading or tariff item of the First Schedule to
the Central Excise Tariff Act, 1985 (5 of 1986) mentioned in the corresponding
entry in column (2) of the said Table, as the goods to which the provisions of
sub-section (2) of said section 4A shall apply, and allows as abatement the
percentage of retail sale price mentioned in the corresponding entry in column
(4) of the said Table.
Table
SNo |
Chapter,
heading, subheading or tariff item of the First Schedule |
Description
of goods |
Abatement
as a percentage of retail sale price |
(1) |
(2) |
(3) |
(4) |
1. |
17 or 21 |
Preparations of other sugars |
35 |
2. |
1702 |
Sugar syrups not containing added flavouring or
colouring matter; artificial honey, whether or not mixed with natural honey;
caramel |
35 |
3. |
1704 |
Gums, whether or not sugar coated (including
chewing gum, bubblegum and the like) |
35 |
4. |
1704 90 |
All goods, other than white chocolate |
30 |
5. |
1704 90 |
White chocolate |
35 |
6. |
1805 00 00 or 1806 10 00 |
Cocoa powder, whether or not containing added
sugar or other sweetening matter |
30 |
7. |
1806 |
Chocolates in any form, whether or not containing
nuts, fruit kernels or fruits, including drinking chocolates |
30 |
8. |
1806 |
Other food preparations containing cocoa |
30 |
9. |
1901 20 00 or 1901 90 |
All goods, other than Dough for preparation of
bakers’ ware of heading No.1905 |
30 |
10. |
1904 |
All goods, other than goods falling under tariff
item 1904 20 00 |
30 |
11. |
1904 20 00 |
All goods |
30 |
12. |
1905 31 00 or 1905 90 20 |
Biscuits |
30 |
13. |
1905 32 11 or 1905 32 90 |
Waffles and wafers, coated with chocolate or
containing chocolate |
30 |
14. |
1905 32 90 |
All goods, other than wafer biscuits |
35 |
15. |
1905 32 19 or 1905 32 90 |
Wafer biscuits |
30 |
16. |
2101 11 or 2101 12 00 |
Extracts, essences and concentrates, of coffee,
and preparations with a basis of these extracts, essences or concentrates or
with a basis of coffee |
30 |
17. |
2102 |
All goods |
30 |
18 |
2106 90 11 |
Sharbat |
25 |
19 |
2106 90 20 |
All goods, other than pan masala containing not
more than 15% betel nut |
40 |
20. |
2106 90 20 |
Pan masala containing not more than 15% betel nut |
20 |
21. |
2403 |
Pan masala containing tobacco |
55 |
22. |
2106 90 30 |
All goods |
30 |
23. |
2106 10 00, 2106 90 50, 2106 90 70, 2106 90 80,
2106 90 91 or 2106 90 99 |
All goods |
35 |
24. |
2201 or 2202 |
Mineral waters |
45 |
25. |
2201 or 2202 |
Aerated waters |
40 |
26. |
2209 |
Vinegar and substitutes for vinegar obtained from
acetic acid |
35 |
27. |
2403 99 10, 2403 99 20 or2403 99 30 |
All goods |
55 |
28. |
2523 21 00 or 2523 29 |
White cement, whether or not artificially
coloured and whether or not with rapid hardening properties |
30 |
29. |
2710 |
Lubricating oils and Lubricating preparations |
35 |
30. |
30 |
Medicaments, other than those which are
exclusively used in Ayurvedic, Unani,
Siddha, Homeopathic or Bio-chemic systems Explanation.-
For the purposes of this entry, “retail sale price” means the retail price
displayed by the manufacturer under the provisions of the Drugs (Prices
Control) Order, 1995. |
35 |
31. |
3204 20 |
Synthetic organic products of a kind used as
fluorescent brightening agents or as a luminophores |
30 |
32. |
3206 |
All goods other than pigments and inorganic
products of a kind used as luminophores |
30 |
33. |
3208, 3209 or 3210 |
All goods |
30 |
34. |
3212 90 20 |
Dyes and other colouring matter put up in forms
or small packing of a kind used for domestic or laboratory purposes |
35 |
35. |
3213 |
All goods |
35 |
36. |
3214 |
All goods |
35 |
37. |
3303, 3304, 3305 or 3307 |
All goods |
35 |
38. |
3306 10 20 |
Toothpaste |
30 |
39. |
3401 19 or 3401 20 00 |
Soap (other than paper, wadding, felt and non- wovens, impregnated, coated or covered with soap or
detergent) |
30 |
40. |
3401 11, 3401 19 or 3402 |
Organic surface active products and preparations
for use as soap in the form of bars, cakes, moulding pieces or shapes, other
than goods falling under 3402 90 20 |
30 |
41. |
3403 |
Lubricating preparations (including cutting-oil
preparations, bolt or nut release preparations, anti-rust or anti-corrosion
preparation and mould release preparations based on lubricants) |
30 |
42. |
3405 |
All goods |
30 |
43. |
3506 |
Prepared glues and other prepared adhesives, not
elsewhere specified or included |
35 |
44. |
3702 |
All goods other than for X-ray and unexposed
cinematographic films |
35 |
45. |
3808 |
Insecticides, fungicides, herbicides, weedicides
and pesticides |
30 |
46. |
3808 |
Disinfectants and similar products |
35 |
47. |
3808 93 40 |
Plant growth regulator |
25 |
48. |
3814 00 10 |
Thinners |
35 |
49. |
3819 |
All goods |
35 |
50. |
3820 00 00 |
Anti-freezing preparations and prepared de-icing
fluids |
35 |
51. |
3824 90 24 or 3824 90 90 |
Stencil correctors and other correcting fluids,
ink removers put up in packings for retail sale |
35 |
52. |
3919 |
Self
adhesive tapes of plastics |
35 |
53. |
3923 or 3924 |
Insulated ware |
40 |
54. |
4816 |
Carbon paper, self-copy paper, duplicator
stencils, of paper |
35 |
55. |
4818 |
Cleansing or facial tissues, handkerchiefs and
towels, of paper pulp, paper, cellulose wadding or webs of cellulose fibres,
other than goods falling under 4818 50 00 |
35 |
56. |
64 |
The following goods namely: - |
|
|
|
(i) Footwear of retail sale price exceeding Rs 250/- and not exceeding Rs
750/- per pair |
35 |
|
|
(ii) All other foot wear |
40 |
57. |
6506 10 |
Safety headgear |
35 |
58. |
6907 |
Vitrified tiles, whether polished or not |
45 |
59. |
6908 |
Glazed tiles |
45 |
60. |
7321 |
Cooking appliances and plate warmers, other than
LPG gas stoves (with burners only, without other functions such as, grills or
oven) |
35 |
61. |
7321 |
LPG gas stoves (with burners only, without other
functions such as, grills or oven) |
35 |
62. |
7323 or 7615 19 10 |
Pressure Cookers |
25 |
63. |
7324 |
Sanitary ware of iron or steel |
35 |
64. |
7418 20 10 |
Sanitary ware of copper |
35 |
65. |
8212 |
Razors and razor blades (including razor- blade
blanks in strips) |
35 |
66. |
8305 20 00 or 8305 90 20 |
Staples in strips, paper clips, of base metal |
35 |
67. |
8414 51 or 8414 59 |
Electric fans |
35 |
68. |
8415 |
Window room air-conditioners and split air
conditioners of capacity upto 3 tonnes |
25 |
69. |
8418 |
Refrigerators |
35 |
70. |
8421 21 |
Water filters and water purifiers, of a kind used
for domestic purposes |
30 |
71. |
8422 11 00 or 8422 19 00 |
Dish washing machines |
30 |
72. |
8443 |
Facsimile machines |
35 |
73. |
8443 31 00 or 8443 32 |
Printer whether or not combined with the
functions of copying or facsimile transmission |
20 |
74. |
8443 99 51 |
Ink cartridges, with print head assembly |
20 |
75. |
8450 |
Household or laundry-type washing machines,
including machines which both wash and dry |
35 |
76. |
8469 |
Typewriters |
30 |
77. |
8470 |
Calculating machines and pocket-size data
recording, reproducing and displaying machines with calculating functions,
other than goods falling under sub-heading 8470 50 and 8470 90 |
35 |
78. |
8471 30 |
All goods |
20 |
79. |
8471 60 |
All goods |
20 |
80. |
8472 90 10 |
Stapling machines |
35 |
81. |
8506 |
All goods, other than parts falling under tariff
item 8506 90 00 |
35 |
82. |
8508 |
All goods, other than parts falling under tariff
item 8508 70 00 |
35 |
83. |
8509 |
All goods, other than parts falling under tariff
item 8509 90 00 |
35 |
84. |
8510 |
All goods, other than parts falling under tariff
item 8510 90 00 |
35 |
85. |
8513 |
All goods, other than parts falling under tariff
item 8513 90 00 |
30 |
86. |
8516 |
Electric instantaneous or storage water heaters
and immersion heaters; electric space heating apparatus and soil heating
apparatus; electro-thermic hairdressing apparatus (for example, hair dryers,
hair curlers, curling tong heaters) and hand dryers; electric smoothing
irons; other electro-thermic appliances of a kind used for domestic purposes. |
35 |
87. |
8517 |
Telephone sets including telephones with cordless
handsets; video phones; |
35 |
88. |
8517 62 30 |
Modems (modulators – demodulators) |
20 |
89. |
8517 69 60 |
Set top boxes for gaining access to internet |
20 |
90. |
8519 |
All goods, other than MP3 Player or MPEG 4 Player |
35 |
91. |
8521 |
All goods, other than MP3 Player or MPEG 4 Player |
35 |
92. |
85 |
MP3 Player or MPEG 4 Player |
35 |
93. |
8523 |
Unrecorded audio cassettes; recorded or
unrecorded video cassettes; recorded or unrecorded magnetic discs |
35 |
93A |
8523 80 20 |
Packaged software or canned software [SNo. 93A inserted by
30-CE(NT)/21.12.2010 amended by Corrigendum dated
06.01.2011. |
15 |
94. |
8527 |
Pagers |
30 |
95. |
8527 |
Radio sets including transistors sets, having the
facility of receiving radio signals and converting the same into audio output
with no other additional facility like sound recording or reproducing or
clock in the same housing or attached to it |
30 |
96. |
8527 |
Reception apparatus for radio-broadcasting,
whether or not combined, in the same housing, with sound recording or
reproducing apparatus or a clock (other than goods covered at S.No.95) |
35 |
97. |
8528 |
Television receivers (including video monitors
and video projectors) whether or not incorporating radio broadcast receivers
or sound or video recording or reproducing apparatus |
30 |
98. |
8528 |
Monitors of a kind solely or principally used in
an automatically data processing machine |
20 |
99. |
8528 71 00 |
Set top boxes for television sets |
20 |
100. |
8536 |
All goods, other than goods falling under tariff
item 8536 70 00 |
35 |
101. |
8539 |
The following goods, other than lamps for
automobiles, namely:- |
|
|
|
(i) Compact Fluorescent Lamp (CFL) falling under
tariff item 8539 31 10 |
35 |
|
|
(ii) All other goods |
35 |
102. |
9006 |
Photographic (other than cinematographic) cameras |
30 |
103. |
9101 or 9102 |
All goods, other than braille watches |
30 |
104. |
9103 or 9105 |
Clocks |
40 |
105. |
9603 21 00 |
Toothbrush |
30 |
106. |
9612 |
All goods |
30 |
107. |
9617 |
Vacuum flasks |
35 |
108. |
Any heading |
Parts, components and assemblies of vehicles (including chassis fitted
with engines) falling under Chapter 87 excluding vehicles falling under
headings 8712, 8713, 8715 and 8716 |
30 |
109. |
Any Chapter |
Parts, components and assemblies of goods falling
under tariff item 8426 41 00, headings 8427, 8429 and sub-heading 8430 10 |
30 |
109A |
151710 |
Margarine edible grade |
35 |
110 |
16 |
All goods |
35 |
111 |
1901 10 |
All goods put up in unit containers |
35 |
112 |
1902 other than 1902 40 10 and 1902 40 90 |
All goods |
35 |
113 |
20 |
All goods |
35 |
114 |
2101 |
Coffee or tea pre-mixes |
35 |
115 |
2103 |
Sauces, ketchup and the like and preparations
thereof |
35 |
116 |
2104 |
Soups and broths and preparations thereof |
35 |
117 |
2105 00 00 |
All goods |
35 |
118 |
2106 90 |
All kinds of food mixes, including instant food
mixes |
35 |
119 |
2106 90 30 |
Betelnut product known as “supari” |
35 |
120 |
2106 90 99 |
(i) Ready to eat packaged food, (ii) Milk containing edible nuts with sugar or
other ingredients |
35 |
121 |
2202 90 10 |
All goods |
35 |
122 |
2202 90 20 |
All goods |
35 |
123 |
2202 90 30 |
Flavoured Milk of Animal origin |
35 |
124 |
2202 90 90 |
Tender coconut water |
35 |
125 |
30 |
Medicaments (including those used in Ayurvedic, Unani, Siddha,
Homeopathic or Bio-chemic systems), manufactured exclusively in accordance
with the formulae described in the authoritative books specified in the First
Schedule to the Drugs and Cosmetics Act, 1940 (23 of 1940) or Homeopathic
Pharmacopoeia of India or the United States of America or the United Kingdom
or the German Homeopathic Pharmacopoeia, as the case may be, and sold under
the name as specified in such books or pharmacopoeia |
35 |
126 |
30 |
Intravenous fluids used for sugar, electrolyte or
fluid replenishment |
35 |
127 |
3002 20 or 3002 30 00 |
Vaccines (other than those specified under the
National Immunisation Program) |
35 |
128 |
3215 90 10 |
Fountain pen ink |
35 |
129 |
3215 90 20 |
Ball pen ink |
35 |
130 |
3215 90 40 |
Drawing ink |
35 |
131 |
3306 10 10 |
Tooth Powder |
35 |
132 |
3406 00 10 |
Candles |
35 |
133 |
39 or 40 |
Nipples for feeding bottles |
35 |
134 |
4015 |
Surgical rubber gloves or medical examination
rubber gloves |
35 |
135 |
|
|
|
136 |
|
|
|
137 |
|
|
|
138 |
7310 or 7326 or any other Chapter |
Mathematical boxes, geometry boxes and colour
boxes, pencil sharpeners |
35 |
139 |
8215 |
All goods |
35 |
140 |
8421 21 20 |
Water filters functioning without electricity and
replaceable kits thereof |
35 |
141 |
8517 or 8525 60 |
Mobile handsets including Cellular Phones and
Radio trunking terminals |
35 |
142 |
8517 |
Wireless data modem cards with PCMCIA or USB or
PCI express ports |
35 |
143 |
8523 |
Recorded audio compact discs (CDs); Recorded
video compact discs (VCDs); Recorded digital video discs (DVDs) &
Recorded audio cassettes |
35 |
144 |
9619 |
All goods |
35 |
SNos.
58, 59, 61, 92 and 105 amended by 18-CE(NT)/07.07.2009;
09-CE(NT)/27.02.2010; SNo. 109 inserted by 19-CE(NT)/29.04.2010; SNo. 109 to
143 inserted by 11-CE(NT)/24.03.2011; SNo. 109 substituted by corrigendum dated 29.03.2011; SNos.
135 to 137 omitted and 144 inserted by 30-CE(NT)/30.12.2011] |
Explanation.- For the purposes of this notification, except
for S.No.30, “retail sale price” means the maximum price at which the excisable
goods in packaged form may be sold to the ultimate consumer and includes all
taxes, local or otherwise, freight, transport charges, commission payable to
dealers and all charges towards advertisement, delivery, packing, forwarding
and the like, as the case may be, and the price is the sole consideration for
such sale.
[F.No.334/8/2008-TRU]