Excise duty for free samples

Valuation principles relating to Free samples is governed by Rule 4 of the Central Excise Valuation (Determination of Price of Excisable goods) Rules, 2000.

As per Rule 4, the value of such goods removed as free sample will be the price of Identical Goods sold by the assessee near about the time of removal of such free samples/replacements.

As per Rule 4, the value of such goods has been taken as the equivalent to the value of similar goods