Section 4a mrp

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A.Barli (Querist)

04 September 2011 Provisions of mrp are very confusing.

kindly help.

If a wholesale pack is removed, its not valued under 4A, am i right?

define wholesale pack(10 or more units??)

Say a package is a wholesale pack and removed for sale to consumers at retail level....sometime later they are removed from wholesale packs to retail packs..
is it subject to 4A?

thanks

U S Sharma

U S Sharma (Expert)

06 September 2011 wholesale is not meant by pack but by removal in bulk quantity, to wholesaler under the marketing practice.

10 capsules in a leaf does not define it in wholesale pack, as well as 5 laptops packed in a case are wholesale pack:) so it is defined by weight and measures act, and industry practice, not by department

sec 4a is dependent on MRP rules, when MRP rules are applied and price is marked in pack, then bulk pack also is covered under MRP

goods does not change value rapidly for duty purpose.

say goods are priced 100 per piece and sold to retail .....duty payable @ 75(25% abatement)

now these goods are sold to wholesaler @80/-

duty payable still on 75 (25% abatement on 100)

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