M/S PSI DATA SYSTEMS LTD. vs COLLECTOR OF CENTRAL EXCISE

The Supreme Court addressed the assessable value of computers for excise duty under the Central Excise Tariff Act, 1985, specifically regarding the inclusion of software value. The Court held that tangible software sold with computers, such as discs and floppies, should not be included in the assessable value for excise duty purposes. The distinction between hardware and software was emphasized, clarifying that only the operational software necessary for the functioning of the hardware is relevant for valuation under the tariff.