As per Explanation to Section 2(d) of Central Excise Act

“Goods includes any article, material or substance which is capable of being brought and sold for a consideration, and such goods shall be deemed to be marketable”.

Also as per

Union of India vs DCM Case, Supreme Court observed that in order to be Goods the articles must be capable of coming to the market to be bought and sold.


Also as per Sale of Goods Act, 1930,  

Goods to mean “every kind of movable property"


Important Characteristics of Goods

Goods must be Movable


Goods must be Marketable

(Capable of being sold)


Important Points

  1. Goods must be capable of being sold, actual sale is not necessary
  2. Even one purchaser enough, it is not necessary that there must be a number of buyers
  3. Burden of proof of Marketability is on the Department
  4. Goods having short shelf life will be considered Marketable if they are capable of being sold during that period

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CA Maninder Singh

CA Maninder Singh is a Chartered Accountant for the past 13 years. He also provides Accounts Tax GST Training in Delhi, Kerala and online.