Excise on sale of goods meant for advertisement purpose

Dear Experts,

We are manufacturers of excisable goods (garments).  We seek certain clarifications on account of the following scenario.

Let us consider, a customer orders garments with his logo/label/print on the garment for advertising purpose on account of sales promotion of his own product, say for example cement.

1. whether the sale of garment as per specifications of the customer comes under sale of branded readymade garment an excisable goods

2. If yes, what should be valuation method of assessable value.

Regards,

Govindarajan R 

 

 

 

Replies (1)

Sale of garment as per specifications of the customer for the purpose of self use is not a branded goods and it is not excisable goods. 

Brand name means a brand name, whether registered or not, that is to say, a name or a mark, such as a symbol, monogram, label, signature or invented words or any writing which is used in relation to a product, for the purpose of indicating, or so as to indicate, a connection in the course of trade between the product and some person using such name or mark with or without any indication of the identity of that person.

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