THE GAZETTE; OF INDIA :' EXTRAORDINARY

[PART II—SEC. 3(i)]

MINISTRY OF FINANCE

(Department of Revenue)

New Delhi, the 25th January, 1978

NOTIFICA'I ION

Central Excise

G.S.R. 44(E).- -In exeicise of the powers eonfened by sec-

tion 37 of Ihc Central Excises and Suit Act, 1944 (1 of 1944),

the Centril Government hereby makes the following rules

further to -imend the Central Excise Rules, 1944, namely:—

1,(0 These rules may bo called the Central Excise (Second

Amendment) Rules, 1978.

(2) They shall

come uuo force on [he Kt day

February, 1978.

2. In the Central Excise Rules, 1944 (hereinafter referred

to as the said rules), in rule 9B,—

(a) for sub-rule (1), the following

sub-iule

shall be

• substituted namely :—

"(1) Notwithstanding

anything

contained

in thesu

rules,—

(a) where the proper officer Is

satisfied thrct

ttssessee is unable to produce any document or

furnish any information necessary for the assess-

ment of duty on any excisable goods; or

(b) where Ihe proper officer deems it necessary

subject the excisable goods to any chemical or

any other test for the purpose of assessment of

duty thereon; or

documents and furnished full information for

the assessment of duty, but the proper officer

deems it necessaiy

to maki; further

inquiry

(including the inquiry to satisfy himself about

the due observance of the conditions imposed

in respect of the goods after their removal) for

assessing the duty,

the proper officer may, either on a written request made by

the assessce or on his own accord, direct that the duty levi-

able on such goods shall, pending the production of such

documents or furnishing of such information or completion

of such test or enquiry, be assessed provisionally at such

rate or such value (which may not necessarily be ihe rate

oi price declared by the assessee) as may be indicated by

him, if such assessee executes a bond in the proper form

with such surety or sufficient security in such amount, or

under such conditions as the proper officer deems fit, bind-

ing himself for payment of the difference

between

the

amount of duty as provisionally assessed

and as

finally

assessed.";

(b) in sub-iule (3), for Ihe words "manufacturer, curer

or owner of excisable goods", the word 'assessee'

shall be substituted; and

or owner of the goods,", the word "assessee" shall

be substituted.

3. In rule 52A of (he said rules, after sub-rule (1),

the

following Explanation shall be irrser ted, namely :—

"Explanation.—In this rule,

and in any other rule,

where the term "gate-pass" is used, it shall mean

the assessce's own delivery invoice, challan or ad-

vice note or othei document of

similar

nature

wherein all tho particulars contained in the proper

form are shown."

4. In tho said rules, for the existing rule 53, the following

shall be substituted, namely :—

"53. Daily stock account.—(1) ]>cry manufacturer shall

maintain a stock account in such Form as

the

Collector may in any particular case or class of

cases allow, and shall enter in such account daily—

(a) description of goods,

(b) opening balance,

(d) quantity deposited in the store-room, or other place

of storage approved by the Collector under rule

47,

fe) quantity icmoved, aftei payment of

duty from

such store-room or other place of

storage

from the place or premises specified under rule 9,

(f) quantity deliveied from the factory without pay-

irient of duty for export or other purposes, artd

(g) the tate of duty and the amount of such duty :

Provided that a manufacturer who furnishes a declara-

tion in the Form annexed hereto may be exempted by the

Collector from making 'nil' entries in the above account on

days on which there is no production, receipt in store-room,

or clearance of excisable goods.

Declaration

The Collector of Central Excise. . .

having

permitted

me/us, in iclaxalion of Ihe piovisions of rule 53 read with

rule 226 of the Central Excise Rules, 1944, to make entries

in the different openings of the stock account only on those

dates when there is any transaction of the natuie mentioned

in the said rule in

lespect of the

particular

description/

variety/size of packing of the excis.ib'c goods, I/We hereby

solemnly dcclaie that no such transaction has taken place

on any dale for which no entries are made

in the stock

account for the particular description/variety/size of packing

of the goods

I/We hereby undertake to make regular

daily entries in the said account in respect of each descrip-

tion /variety/size of packing of the goods in respect of each

transaction mentioned in rule 53 of the said rules on the

particular day.

Signature of Licensee

(2) The stock account maintained undei sub-rule fl)

shall, after being filled up, be preserved for a period

of not less than five years and kept available foi

inspection by any officer.

(3) Unless specially exempted by the Collector by older

in writing, a manufacturer shall send all books of

account as aic maintained under sub-rule (1), before

they are bi ought into use, tor authentication by the

proper officer in such manner and at such time as

the Collector may direct, and such books of ac-

count shall be deemed to be a stock account in the

propei

foira"

5. In lule 173A of the said rules, at Lhe end of sub-iule (1),

(ho following proviso and

Explanation shall be inserted,

namely ;—

"Provided that fmm amongst the excisable goods as are

specified under this sub-rule, the Central Government

may, by notification in the Official Gazette, declare

certain excisable goods as declared excisable goods

and the piovisions of this Chapter shall, subject to

such modificatioas as ate indicated in relation to

such declared goods in any rule under this Chapter,

apply."

"Explanation,—The expiession 'declared excisable goods',

wherever it occurs, in this Chapter means the goods

declared under this proviso."

6. In mle 173B of the said rules,

(a) in sub-iule (1) for the words "Before removing excis-

able goods, every", the word "Every" ••hall be

substituted ; and

(b) aftci sub-rule (2), the following sub-rule shall be

inserted, namely :—

"(2A) All clearances shall, subject to the provisions of

rule 173CC, be made only after the approval of

the list by the proper officer. If the proper officer

is of the opinion that on account or any inquiry

to be made in the matter or for any other reason

to be lecorded in writing there is likely to be

delay in according the approval, he shall, either

on a written request made by the assesseo or on

his own accord, allow such assessee to avail him-

self of the proccduie prescribed under rule 9B

for provisional assessment of the goods"'

7. In rule 173C of the said rules,—

(a) in sub-iufe (1), after the words "to the buyeis",

the following words "along with such other paitl-

culars as the Central Board of Excise and Customs

or the Collector may specify" shall be insetted ; and

(b) in sub-rule

(2A),

(0 for the words "An clearances shall be made only

after the approval of the price list by the proper

officei", the words, figutcs and letters "All clear-

ances

shall, subject to

the provisions of rule

173CC, be made only after the approval' of the

price list by the proper officer" shall be substituted ;

and

(ii) for the words "on a written request made by the

assessee", the words "either on a written request

made by the asscssee or on his own accord" shall

be substituted.

8. After rule 173C of the said rules, the following ruFe shall

be inserted, namely :—

"173CC Assessee may lemove good* in certain cases

pending approval by the propci officer of the classi-

fication or pi ice list.

An assessee—

(a) who is licensed for the first time for the manu-

facture of excisable goods or for the storage of

such goods in hh warehouse and has filed the

classification list or, us the case may be, the price

list, or

(b) who has manufactuied new excisable goods for

the first time and has filed the classification list or,

as the case may be, the price list, or

pi ice list previously

appioved by the pioper officer and where the price

list as so revised—-

(i) leads to a value higher than that shown in the

previously approved price list, or

(ii) leads to levy of duty at a rate higher than that

shown in the previously approved classification

list,

may, after he has filed the list or, as the

c.ise

may be, the levised list, and pending approval of

such list by the proper officer, remove such ^oods,

on payment of duty on the basis declared in the

list or, as the case may be, the revised list, and

thereupon the duty paid on such goods shall be

deemed to be the duty assessed

provisionally

under rule 9B ;

Provided that the facility in this rule to lemove the

goods pending approval of such list shall cease, if

the assessee fails to execute, within 14 days of tho

first clearance under such fist, a bond in the proper

form for such amount with such security or

surety as the proper officer may specify.

Explanation.—For the purpose of this rule,—

(i) 'classification list' means the list referred to in

sub-rule (1) of uile 173 B ; and

(ii) 'price list' means the price list refeired to in

sub-ruFc (1) of rule 173C."

9. In rule 173F of the said rules, after the flguies and

letter "173C", the figures and letters "or 173CC", shall be

inserted.

10. In rule 173G of the said rules,—

(a) in sub-rule

(1), after clause (ii) of the proviso,

the following clause shall be inserted, namely ;—

"(ii) the proper officer may allow an

assessee

who

manufactures one or mote ofthe declared excisable

goods, irrespective of the number of consignments

removed by him in the previous calendar year,

to make consolidated debit in the account-current

at the end of the day towaids payment of duty.";

(b) in sub-rule (2)—

(i) the words "or like document", "or like document

documents"

and

"or

documents",

whciever they occur, shall be omitted;

(ii) after clause (iv) of the proviso, the following clau-

ses shall be inserted, namely :—

"(v) unless specially exempted by the Collector by

order in writing, the assessee shall, before

any

8 4

THE GAZETTE OF INDIA : EXTRAORDINARY

L^PART^II—SEC.^3(i)]

book of gatepasses is brought into use, have

each gatepass in such book, authenticated by the

proper officer, in such manner as the Collector

may direct ;

(vi) where any correction, other than one relating

to the date or the time of removal of the goods

or to the description of the goods (including the

variety of goods, the number and description of

packages and

the identification marks there-

on), becomes necessary in any gate-pass before

removal of the goods, such correction may be

made by the assessce provided this is done neatly

and over hig dated signature in all copies of the

gatepass;

(vii) where the assesses, after he has debited the duty

due on the goods in the account current referred

to in sub-rule (1), finds it necessary to cancel

any gatcpass, he shall send an intimation thereof

in writing to the proper officer not later than the

working day next following the day on which

such gatepass is cancelled, and may thereupon

take credit of the

duty

that nccount.";

and

shall be re-numbercd as

clause (a) thereof, and—

(i) in clause (a), as so re-numbcred, after the words

"time to time require", the words "or permit, sub-

ject to such conditions as may be specified by him",

shall be inserted; and

(u"l after clause (a), as so re-numbered, the following

clauses shall be inserted, namely :—

"(b) Unless specially exempted by the

Collector by

order in writing, all books of accounts maintained

under clause (a) shall be went by him, before these

are brought into use, for authentication by

the

proper officer in such manner and at such time as

the Collector may direct;"

"(c) In respect of any assessee, or class of asscssees,

the Collector may direct that all books of accounts

maintained under clause (a), subject to what has

been stated In clause (b), shall be deemed to be

the proper form for the respective purpose/'

11. In the said rules, the existing rule 173K shall

renumbered as sub-rule (1) thereof and,—

(1) Tn sub-rule (1) as so renumbered—

(a) after the words "excisable

goods",

the

words

"other than the declared excisable goods" shall

be inserted;

(b¹) for the words, brackets and figure beginning with

"In sub-rule (3)" and ending with

.."quantity

thereof",

the following

shall be

substituted,

namely :—

"In sub-ruJe (3) of rule 56-A.—

(a) in clause (i)—

(i) sub-clause (a), shall be omitted.

(ii) for sub-clause (c), the following sub-clause shall

be substituted, namely :•—

"(c) inform the proper Officer

in writing in the

proper form regarding receipt of each consign-

ment of excise duty paid or the countervailing

duty paid material or component parts or finished

product within twenty-four hours of its receipt

to enable the

proper officer to

identify the

material or component parts or finished product,

as the case

may be, and verify

the actual

quantity thereof within forty-eight hours

receipt of the aforesaid information.";

(2) after sub-rule (1) us so renumbered, the following sub-

rule shall be inserted, namely :—

"(2) In relation to the declared excisable goods, the

modifications to rule 56A specified below sub-

rule (I) shall apply OxCept thai sub-clause (u) of

clause (i) of sub-rule (3) of the said rule 56A,

shall he .substituted as follows), namely :

"(e) Inform the proper officer in writing in the pro-

per form regarding receipt of each consignment

of excise duty paid or the countervailing duty-

paid material or component parts

or linished

product within twenty-four hours of its receipt

to enable the proper officer, if he deems it nece-

ssary, to

identify the material or

component

party or linished product as the case may be,

and verify the actual quantity thereof.".

12. In sub-rule (1) of rule 173-L of the said rules,—<a)

in clause (li) of the proviso, after the words "within twenty-

four hours of such re-entry", the words, "to enable the proper

officer to verify the particulars of auch goods within forty-

eight hours of receipt of the information

shall be inserted ;

and

(b) after the proviso, the following proviso shall be inserted,

namely :—

"Provided further that in relation to the declared excisa-

ble goods, for clauiie (ii) of the first proviso, the

following clause shall be substituted, namely :-—

"(ii) the assessee gives information of the re-entry of

each consignment of such excisable goods into

the factory to the proper officer in writing in the

proper form within twenty-four hours of such re-

entry ;".

13. In sub-rule (1) of rule 173-M of the said rules,—(a)

in clause (ii) of the proviso, after the words, "within tweniy-

four hours of such re-entry" the words "to enable the proper

officer to verify the particulars of such goods within forty-eight

hours of receipt of the information" shall be inserted ; and

(b) after the proviso, the following proviso shall be inserted,

namely :—

"Provided further that in relation to the declared excisable

goods, for clause (ii) of the first proviso, the follow-

ing clause shall be substituted, namely ;—

"(ii) the assessee giscs information of the re-entry of

each consignment of such excisable goods into

the factory to the proper officer in writing in

the proper form within twenty-four hours of such

re-entry ;".

14. In the said rules, to sub-rule (2) of rule 185 as subs-

tituted by rule 173-0, the following proviao shall be added,

namely :—

"Provided that the payment of the appropriate charges

determined by the Collector shall only be required

in cases where the examination of goods is to be

carried out before ten O'Clock in the forenoon, or

after six O'Clock in the after-noon.".

(No. 10/78-CE)

[No. 10/78-C.E.-F. No. 318/1/76-CX. 10/SRP.]

G.S.R. 45(E).—In exercise of the powers conferred by the

proviso to sub-rule (1) rule 173-A of the Central Excise Rules,

1944, the Central Government hereby declares the goods comp-

rised in Item Nos. specified in column (2) of the Table below as

declared excisable goods.

TABLE

SNo.

(1)

10.

11.

12.

13.

14.

15.

16.

17.

18,

19.

20.

21.

22.

23.

24.

25.

26.

27.

28.

29.

30.

31.

12.

Item No. of the First Schedule to the Central

Excise and Salt Act, 1944 (1 of 1944)

(2)

11A

11B

11C

14A

I4HH

15B

15AA

22C

26A

26AA

26B

27A

33AA

33DD

14B

37(1)

Provided that nothing contained in this notification shall apply

to an assessee, or class of assessees, in respect of whom necessary

direction, in pursuance of clause (c) of sub-rule (4) of rule 173-G,

has not been issued by the Collector.

2, This notification shall come into force on the 1st day of

February, 1978.

[No. 11/78-CE No. 178-CE-F. No. 318/I/76-CX-10/SRP.]

N.C. JAIN, Under Secy.

PRINTED BY THE MANAGER. QOVT. OF INDIA PRESS, RING ROAD, NEW DELHI-110064

AND PUIiLISHED BY TIIE CONTROLLER OF PUBLICATIONS, DELHI-110054, 1978