CESTAT Chennai says No RSP-Based CVD Without Statutory Valuation Machinery

CESTAT Chennai dismissed the Revenue’s appeal concerning 3 lakh laptops imported for Tamil Nadu’s free laptop scheme. It held that the Customs authorities had no statutory authority to determine an RSP that the importer had never declared and adopt the ELCOT contract price for CVD. Independently, the Tribunal found that packages meant exclusively for free distribution to students, without a retail sale to the ultimate consumer, were not required to bear an RSP under the Legal Metrology framework. The demand, extended limitation, confiscation, interest and penalty were consequently rejected.