25th   August, 2003.

Notification No. 69/2003-Central Excise  

In exercise of the powers conferred by sub-section (1) of  section 5A of the Central Excise Act, 1944 (1 of 1944), read with sub-section (3) of section 3 of the Additional Duties of Excise (Goods of Special Importance), Act, 1957 (58 of 1957), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts excisable goods of the description specified in column (3) of the Table below and falling within the sub-heading No. of the First Schedule to the Central Excise Tariff Act, 1985 (5 of 1986), as specified in the corresponding entry in column (2) of the said Table-

(a)

from so much of the duty of excise specified thereon under the First Schedule to the said Central Excise Tariff Act, (hereinafter referred to as the basic excise duty ), as is in excess of the amount calculated at the rate specified in the corresponding entry in column (4) of the said Table;

(b)

from so much of the special duty of excise specified thereon under the Second Schedule to the said Central Excise Tariff Act, (hereinafter referred to as the special excise duty ), as is in excess of the amount calculated at the rate specified in the corresponding entry in column (5) of the said Table;

(c)

from so much of the duty of excise specified thereon under the First Schedule to the said Additional Duties of Excise Act, (hereinafter referred to as the additional excise duty ),  as is in excess of the amount calculated at the rate specified in the corresponding entry in column (6) of the said Table;

subject to the following conditions, namely,-
(A)

the exemption under this notification shall be available only in respect of a unit which,-

(i)

is located in the State of Arunachal Pradesh, Assam, Manipur, Meghalaya , Mizoram , Nagaland orTripura ;

(ii)

had commenced commercial production on or after the 24th day of December, 1997, but not later than the 28th day of February, 2001;

(iii)

had availed of the benefit under the notification of the Government of India in the Ministry of Finance (Department of Revenue) No. 32/99-Central Excise, dated the 8th July, 1997 [G.S.R. 508 (E) dated the 8th July, 1997] or No. 33/99-Central Excise, dated the 8th July, 1997 [G.S.R. 509 (E) dated the 8th July, 1997]; and

(iv)

has continued its manufacturing activities after the 28th day of February, 2001;

(B)

an amount equal to the difference between the sum of basic excise duty, special excise duty and additional excise duty, payable, but for the exemption in this notification, and the sum of basic excise duty, special excise duty and additional excise duty, paid, shall be utilised by the manufacturer only for investment in plant and machinery in a manufacturing unit which is located in the State of Arunachal Pradesh, Assam, Manipur, Meghalaya , Mizoram , Nagaland or Tripura ;

(C) the investment in terms of condition (B), shall be made before the expiry of six months from the end of each quarter;
(D)

the manufacturer shall provide all details relating to the investment made in terms of condition (B),  within one month after the expiry of the period of six months referred to in condition (C),  to a Committee consisting of, the Chief Commissioner of Central Excise, Shillong ,  the Principal Secretary of the Department of Industry of the  State concerned in which the unit is located and the Principal Secretary of the Department of Industry of the State in which the investment is made, and shall have to prove to the satisfaction of the said Committee that the investment has been made for the purpose specified in condition (B);

(E)

if the Committee referred to in condition (D) is satisfied that the investment as specified in condition (B), has been made, it shall issue a certificate to this effect to the manufacturer within a period of three  weeks after the expiry of the one month referred to in condition (D), which shall be produced by the manufacturer, within a period of two weeks from the date of issue of such certificate,  to the jurisdictional Central Excise Officer;

(F)

the investment made under this notification shall not be allowed to be withdrawn before the expiry of ten years from the date on which the investment is made except in a case where the investment withdrawn is reinvested in the same manner as specified in this notification, in any one of the States mentioned in condition (A):

Provided that if the investment made under this notification is withdrawn before the expiry of ten years and is not reinvested as mentioned above, the duty which is equal to the amount so withdrawn and not so reinvested, shall be paid by the manufacturer on the date on which the investment is withdrawn.

Table

Sr.No. Sub-heading No. Description Basic excise duty Special excise duty Additional excise duty
(1) (2) (3) (4) (5) (6)
1. 2401.90 All goods 8% 8% 5%
2. 2402.00 All goods 8% Nil Nil
3. 2404.41 All goods 8% 6% 6%
4. 2404.49 All goods 8% 6% 6%
5. 2404.50 All goods 8% 6% 6%
6. 2404.99 All goods 8% 6% 6%

G. S. Karki
Under Secretary to the Government of India

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Posted Under

Category : Excise Duty (4040)
Type : Notifications (15152) Notifications/Circulars (29886)

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