Circular No. 92/3/95-Central Excise

dated 17/1/95
F.No. 156/17/94-CX.4
Government of India
Department of Revenue
Central Board of Excise & Customs

Subject: Central Excise – Classification / excitability of three wheeled auto rickshaws meant for  transport of goods Applicability of Notification NO. 162/86-CE (Sl. No. 5) – Clarification regarding…

Representations have been received about the application of Notification No. 162/ 86-CE, (Sl. No.5), as amended, to three wheeled auto rickshaws meant for transport of goods. three wheeled auto rickshaws under for transport of goods are also known as:-

(i) Delivery vans

(ii) Pick-up vans

(iii) Auto-Trailers

A view has been expressed that the phrase “three wheeled auto rick- Shaw”s”. In common parlance, denotes three wheeled auto rickshaws used for carrying passengers and as such, the benefit of exemption under Notification No. 162/86-CE is inadmissible to three wheeled auto rickshaws meant for transport of goods.

2. The matter has been examined by the Board. Notification No. 162/86-CE (Sl. No. 5), as amended, prescribes a central rate of duty of 15% advl. in respect of three wheeled auto rickshaws and chassis thereof, falling under heading 87.03, 87.04 or 87.06 of the Schedule to the Central Excise Tariff Act, 1985. Thus, Sl. No. 5 of the said Notification, includes heading 87.04  which is for “motor vehicles for the transport of the goods”. Auto rickshaws, if used for carriage of goods are liable to be classified under heading 87.04 and would be covered by Sl. No. 5. If it is viewed that Sl. No. 5 of the said Notification is only for vehicles for transport of persons, the reference to heading 87.07 becomes redundant.

3. So long as a motor vehicle satisfies the description that it is three- wheeled and in covered by any of the headings mentioned under Sl. No. 5, it will be entitled to the benefit of Notification No. 162/86 as amended by Notification No. 49/94 dt. 1.03.1994.

4. All pending disputed of this nature may be settled in the light of these guidelines.

(M. Ponnuswamy)
Deputy Secretary to the Government of India

Join Taxguru’s Network for Latest updates on Income Tax, GST, Company Law, Corporate Laws and other related subjects.

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Telegram

taxguru on telegram GROUP LINK

Download our App


More Under Excise Duty

Leave a Comment

Your email address will not be published. Required fields are marked *

Search Posts by Date

February 2024