(1.) SECTION 4A of the Central Excise Act, 1944 stipulates valuation of excisable goods with reference to retail sale price where the Central Govt. by way of issue of notification may specify any goods, in relation to which it is required to be declared on the package thereof the retail sale price of such goods, under the provisions of the Standards of Weights and Measures Act, 1976 on the rules, made thereunder or under any other law for the time being in force. The Central Government by issue of notification No. 18/98 -CE., (N.T.), dated 2 -6 -1998 has extended the provisions of Section 4A to Colour Television Sets (CTVs).
(2.) UNDER Rule 6 of Standards of Weights and Measures (Packaged Commodities) Rules, 1977 issued under the Standards of Weights and Measures Act, 1976, the manufacturers of CTVs have to print Maximum Retail Price (MRP) on the packages of the CTVs.
(3.) BY Notification No. 50/1997 -CE, dated 10 -9 -1997, the Central Government specified the colour Television Receivers falling under Heading 85.28 as the goods to which the provisions of Section 4A(2) shall apply. By Notification No. 18/98, dated 2 -6 -1998, duty was made chargeable on CTVs after allowing an abatement of 30% on the retail sale price. Simultaneously by virtue of another Notification No. 5/1998, dated 2 -6 -1998, the CTVs where the retail sale price was declared on the package, at the time of clearance from the factory was subjected to duty @ 18% on a.v. It was further provided in this notification that any other goods i.e. (i) the goods other than those where the retail sale price was not declared on the package at the time of clearance from the factory or (ii) where the retail sale price was not the retail sale price as defined in the Explanation to this notification, were liable to duty on specific rates of duty depending on the screen size of the CTV.