Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | 1944 s.4(A) Central Excise Act Interpretation of |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Act(s) Referred | Legal Metrology Act, 2009 (1 of 2010) Central Excise Act, 1944 (1 of 1944) |
Case(s) Referred | Referred Case 0 |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Central Excise Act, 1944 – s. 4(A) – Interpretation of – Goods sold by the respondent if eligible to claim tax benefits within the purview of the notification u/s. 4(A) – Held: While the goods in the impugned sale were notified u/s. 4(A) by way of an official notification in the gazette, r.3(b) of the 2011 Rules exempts the sale to institutional consumers from its purview – In the present case, the purchasers are military and paramilitary institutions, who purchase the goods in bulk from the respondent, and then further distribute it to their employees – Thus, the purchaser military and paramilitary institutions become industrial consumers, as they serve as an intermediary between the end consumer and the original purchaser – The purchasers being institutional consumers are exempt from the 2011 Rules, and since s. 4(A) mandates the applicability of the said rules, the transaction automatically becomes ineligible to claim refuge u/s. 4(A) – Further, a consumer, as clarified by the Jayanti Foods case, is the final consumer of the product, and not the intermediary – Where the purchaser institution is deemed to not be a consumer, the sale also cannot be held to be a retail sale as per the Act – Since the impugned sale is not a retail sale as per the Act, there exists no mandate of law on the respondent to affix an MRP on the goods sold, and hence the said impugned transaction cannot claim benefit u/s.4(A) – CESTAT committed error in law by passing the impugned order – Legal Metrology (Packaged Commodities) Rules, 2011 – r. 3(b) – Legal Metrology Act, 2009. |
Judge | Hon'ble Mr. Justice Krishna Murari |
Neutral Citation | 2023 INSC 268 |
Petitioner | Commissioner Of Central Excise & Service Tax, Kanpur |
Respondent | M/s. A. R. Polymers Pvt. Ltd. Etc. |
SCR | [2023] 2 S.C.R. 1147 |
Judgement Date | 2023-03-21 |
Case Number | 9569 |
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