MINISTRY OF LAW AND JUSTICE
(Legislative Department)
New Delhi, the 16th August, 2024/Sravana 25, 1946 (Saka)
The following Act of Parliament received the assent of the President on the 16th August, 2024 and is hereby published for general information:-
THE FINANCE (No. 2) ACT, 2024
No. 15 of 2024
[16th August, 2024.]
An Act to give effect to the financial proposals of the Central Government for the financial year 2024-25.
BE it enacted by Parliament in the Seventy-fifth Year of the Republic of India as follows:––
CHAPTER I
PRELIMINARY
Short title and commencement.
1. (1) This Act may be called the Finance (No. 2) Act, 2024.
(2) Save as otherwise provided in this Act,––
(a) sections 2 to 87 shall be deemed to have come into force on the 1st day of April, 2024;
(b) sections 114 to 157 shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint.
CHAPTER V
INDIRECT TAXES
Customs
Amendment of section 28DA.
100. In the Customs Act, 1962 (hereinafter referred to as the Customs Act), in section 28DA,-
(a) in sub-section (2) and clauses (ii), (iii) and (iv) of sub-section (10), for the word “certificate”, the word “proof” shall be substituted;
(b) in Chapter V-AA, in the Explanation,––
(i) for clause (a), the following clause shall be substituted, namely:––
‘(a) “proof of origin” means a certificate or declaration issued in accordance with a trade agreement certifying or declaring, as the case may be, that the goods fulfil the country of origin criteria and other requirements specified in the said agreement;’;
(ii) for clause (c), the following clause shall be substituted, namely:––
‘(c) “Issuing Authority” means an authority or person designated for the purposes of issuing proof of origin under a trade agreement;’.
Amendment of section 65.
101. In section 65 of the Customs Act, in sub-section (1), the following proviso shall be inserted, namely:––
“Provided that the Central Government may, if satisfied that it is necessary in the public interest so to do, by notification in the Official Gazette, specify the manufacturing processes and other operations in relation to a class of goods that shall not be permitted in a warehouse.”.
Amendment of section 143AA
102. In the Customs Act, in section 143AA, after the words “importers or exporters”, the words “or any other persons,” shall be inserted.
Amendment of section 157.
103. In the Customs Act, in section 157, in sub-section (2), in clause (m), after the words “importers or exporters”, the words “or any other persons,” shall be inserted.
Retrospective effect to notification issued under sub-section (1) of section 25 of Customs Act, read with sub-section (12) of section 3 of Customs Tariff Act.
104. The notification of the Government of India in the Ministry of Finance (Department of Revenue) number G.S.R. 394(E), dated the 12th July, 2024 issued by the Central Government, in exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 read with sub-section (12) of section 3 of the Customs Tariff Act, 1975, shall be deemed to have, and always to have, for all purposes, come into force on and from the 1st day of July, 2017.
Retrospective amendment of notification issued under sub-section (1) of section 25 of Customs Act read with section 124 of Finance Act.
105. (1) Subject to the provisions of sub-section (2), the notification of the Government of India in the Ministry of Finance (Department of Revenue) number G.S.R. 356(E), dated the 10th May, 2023, issued by the Central Government, on being satisfied that it is necessary in the public interest so to do, under sub-section (1) of section 25 of the Customs Act read with section 124 of the Finance Act, 2021 (hereinafter referred to as the Finance Act), shall be deemed to have, and always to have, for all purposes, come into force with effect from the 1st day of April, 2023, and remain in force during the period from the 1st day of April, 2023 and ending with the 30th day of June, 2023 (both days inclusive).
(2) The notification of the Government of India in the Ministry of Finance (Department of Revenue) number G.S.R. 356(E), dated the 10th May, 2023, issued by the Central Government, on being satisfied that it is necessary in the public interest so to do, under sub-section (1) of section 25 of the Customs Act read with section 124 of the Finance Act shall stand amended in the manner specified in column (2) of the Second Schedule and shall be deemed to have been amended retrospectively on and from and up to the corresponding date specified in column (3) of that Schedule against the notification number to be amended as specified in column (1) of that Schedule.
(3) For the purposes of sub-section (2), the Central Government shall have and shall be deemed to have the power to amend the notification referred to in the said sub-section with retrospective effect as if the Central Government had the power to amend the said notification under sub-section (1) of section 25 of the Customs Act read with section 124 of the Finance Act at all material times.
(4) Refund shall be made of the whole of duty and cess, which has been collected, but which would not have been so collected, had the notification referred to in sub-section (1) been in force in the manner and to the extent specified in sub-sections (1) and (2), in accordance with the provisions of sub-section (2) of section 27 of the Customs Act:
(4) Refund shall be made of the whole of duty and cess, which has been collected, but which would not have been so collected, had the notification referred to in sub-section (1) been in force in the manner and to the extent specified in sub-sections (1) and (2), in accordance with the provisions of sub-section (2) of section 27 of the Customs Act:
Customs Tariff
Amendment of section 3.
106. In section 3 of the Customs Tariff Act, 1975 (hereinafter referred to as the Customs Tariff Act, for sub-section (12), the following sub-section shall be substituted, namely:-
“(12) The provisions of the Customs Act, 1962 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply to the duty or tax or cess, as the case may be, chargeable under this section as they apply in relation to duties leviable under that Act or all rules or regulations made thereunder, as the case may be.”.
Omission of section 6.
107. In the Customs Tariff Act, section 6 shall be omitted
Amendment of section 8B.
108. In section 8B of the Customs Tariff Act, for sub-section (9), the following sub-section shall be substituted, namely:-
“(9) The provisions of the Customs Act, 1962 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply to the duty chargeable under this section as they apply in relation to duties leviable under that Act or all rules or regulations made thereunder, as the case may be.”
Amendment of section 9.
109. In section 9 of the Customs Tariff Act, for sub-section (7A), the following sub-section shall be substituted, namely:-
“(7A) The provisions of the Customs Act, 1962 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply to the duty chargeable under this section as they apply in relation to duties leviable under that Act or all rules or regulations made thereunder, as the case maybe.”.
Amendment of section 9A.
110. In section 9A of the Customs Tariff Act, for sub-section (8), the following sub-section shall be substituted, namely:-
“(8) The provisions of the Customs Act, 1962 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply to the duty chargeable under this section as they apply in relation to duties leviable under that Act or all rules or regulations made thereunder, as the case may be.”.
Amendment of First Schedule
111. In the Customs Tariff Act, the First Schedule shall,––
(a) be amended in the manner specified in the Third Schedule;
(b) be also amended in the manner specified in the Fourth Schedule, with effect from the 1st day of October, 2024.
Excise
Amendment of notification issued under section 5A of Central Excise Act, retrospectively.
112. (1) Notwithstanding the supersession of the notification of the Government of India in the Ministry of Finance (Department of Revenue) number G.S.R 163 (E), dated the 17th March, 2012, issued under sub-section (1) of section 5A of the Central Excise Act, 1944, the said notification shall stand amended and shall be deemed to have been amended retrospectively, in the manner specified in column (2) of the Fifth Schedule, on and from the corresponding date specified in column (3) of that Schedule, against the said notification specified in column (1) of that Schedule.
(2) For the purposes of sub-section (1), the Central Government shall have and shall be deemed to have the power to amend the said notification with retrospective effect as if the Central Government had the power to amend the said notification under sub-section (1) of section 5A of the Central Excise Act, 1944, retrospectively, at all material times.
Explanation.-For the removal of doubts, it is hereby declared that no act or omission on the part of any person shall be punishable as an offence which would not have been so punishable had this section not come into force.
Amendment of notification issued under section 5A of Central Excise Act, retrospectively.
113. (1) The notification of the Government of India in the Ministry of Finance (Department of Revenue) number G.S.R.794(E), dated the 30th June, 2017 issued under sub-section (1) of section 5A of the Central Excise Act, 1944 shall stand amended in the manner specified in column (3) of the Sixth Schedule and shall be deemed to have been amended retrospectively on and from the corresponding date specified in column (4) of that Schedule against the notification number to be amended as specified in column (2) of that Schedule.
(2) Notwithstanding anything contained in any judgment, decree or order of any court, tribunal or other authority, any action taken or anything done or purported to have been taken or done, at any time during the period commencing on and from the 1st day of July, 2017, relating to the provisions as amended by sub-section (1), shall be deemed to be, and deemed always to have been, for all purposes, as validly and effectively taken or done as if the amendment made by sub-section (1) had been in force at all material times.
(3) Notwithstanding the repeal of the Chapter VII of the Finance Act, 2010 as amended by the Finance Act, 2016, for the purposes of sub-section (1), the Central Government shall have and shall be deemed to have the power to amend the notification referred to in sub-section (1) with retrospective effect as if the Central Government had the power to amend the said notification under section 5A of the Central Excise Act, 1944, retrospectively, at all material times.
Explanation.- For the removal of doubts, it is hereby declared that no act or omission on the part of any person shall be punishable as an offence which would not have been so punishable had this section not come into force.
Central Goods and Services Tax
Amendment of section 9.
114. In the Central Goods and Services Tax Act, 2017 (hereinafter referred to as the Central Goods and Services Tax Act), in section 9, in sub-section (1), after the words “alcoholic liquor for human consumption”, the words “and un-denatured extra neutral alcohol or rectified spirit used for manufacture of alcoholic liquor, for human consumption” shall be inserted.
Amendment of section 10.
115. In section 10 of the Central Goods and Services Tax Act, in sub-section (5), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Insertion of new section 11A.
116. After section 11 of the Central Goods and Services Tax Act, the following section shall be inserted, namely:––
(i) central tax, in cases where according to the said practice, central tax was not, or is not being, levied, or
“11A. Notwithstanding anything contained in this Act, if the Government is satisfied that-
(a) a practice was, or is, generally prevalent regarding levy of central tax (including non-levy thereof) on any supply of goods or services or both; and
(b) such supplies were, or are, liable to,-
(i) central tax, in cases where according to the said practice, central tax was not, or is not being, levied, or
(ii) a higher amount of central tax than what was, or is being, levied, in accordance with the said practice,
the Government may, on the recommendation of the Council, by notification in the Official Gazette, direct that the whole of the central tax payable on such supplies, or, as the case may be, the central tax in excess of that payable on such supplies, but for the said practice, shall not be required to be paid in respect of the supplies on which the central tax was not, or is not being levied, or was, or is being, short-levied, in accordance with the said practice.”.
Amendment of section 13.
117. In section 13 of the Central Goods and Services Tax Act, in sub-section (3),––
(i) in clause (b), for the words “by the supplier:”, the words “by the supplier, in cases where invoice is required to be issued by the supplier; or” shall be substituted;
(ii) after clause (b), the following clause shall be inserted, namely:-
“(c) the date of issue of invoice by the recipient, in cases where invoice is to be issued by the recipient:”;
(iii) in the first proviso, after the words, brackets and letter “or clause (b)”, the words, brackets and letter “or clause (c)” shall be inserted.
Amendment of section 16.
*118. In section 16 of the Central Goods and Services Tax Act, with effect from the 1st day of July, 2017, after sub-section (4), the following sub-sections shall be inserted, namely:––
“(5) Notwithstanding anything contained in sub-section (4), in respect of an invoice or debit note for supply of goods or services or both pertaining to the Financial Years 2017-18, 2018-19, 2019-20 and 2020-21, the registered person shall be entitled to take input tax credit in any return under section 39 which is filed up to the thirtieth day of November, 2021.
(6) Where registration of a registered person is cancelled under section 29 and subsequently the cancellation of registration is revoked by any order, either under section 30 or pursuant to any order made by the Appellate Authority or the Appellate Tribunal or court and where availment of input tax credit in respect of an invoice or debit note was not restricted under sub-section (4) on the date of order of cancellation of registration, the said person shall be entitled to take the input tax credit in respect of such invoice or debit note for supply of goods or services or both, in a return under section 39,––
(i) filed up to thirtieth day of November following the financial year to which such invoice or debit note pertains or furnishing of the relevant annual return, whichever is earlier; or
(ii) for the period from the date of cancellation of registration or the effective date of cancellation of registration, as the case may be, till the date of order of revocation of cancellation of registration, where such return is filed within thirty days from the date of order of revocation of cancellation of registration,
whichever is later.”.
Amendment of section 17.
119. In section 17 of the Central Goods and Services Tax Act, in sub-section (5), in clause (i), for the words and figures “sections 74, 129 and 130”, the words and figures “section 74 in respect of any period up to Financial Year 2023-24” shall be substituted.
Amendment of section 21.
120. In section 21 of the Central Goods and Services Tax Act, after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 30.
121. In section 30 of the Central Goods and Services Tax Act, in sub-section (2), after the proviso, the following proviso shall be inserted, namely:––
“Provided further that such revocation of cancellation of registration shall be subject to such conditions and restrictions, as may be prescribed.”.
Amendment of section 31.
122. In section 31 of the Central Goods and Services Tax Act,––
(a) in sub-section (3), in clause (f), after the words and figure “of section 9 shall”, the words “, within the period as may be prescribed,” shall be inserted;
(b) after clause (g), the following Explanation shall be inserted, namely:––
‘Explanation.––For the purposes of clause (f), the expression “supplier who is not registered” shall include the supplier who is registered solely for the purpose of deduction of tax under section 51.’.
Amendment of section 35.
123. In section 35 of the Central Goods and Services Tax Act, in sub-section (6), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted
124. In section 39 of the Central Goods and Services Tax Act, for sub-section (3), the following sub-section shall be substituted, namely:––
“(3) Every registered person required to deduct tax at source under section 51 shall electronically furnish a return for every calendar month of the deductions made during the month in such form and manner and within such time as may be prescribed:
Provided that the said registered person shall furnish a return for every calendar month whether or not any deductions have been made during the said month.”.
Amendment of section 49.
125. In section 49 of the Central Goods and Services Tax Act, in sub-section (8), in clause (c), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 50.
126. In section 50 of the Central Goods and Services Tax Act, in sub-section (1), in the proviso, after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 51.
127. In section 51 of the Central Goods and Services Tax Act, in sub-section (7), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 54.
128. In section 54 of the Central Goods and Services Tax Act,––
(a) in sub-section (3), the second proviso shall be omitted;
(b) after sub-section (14) and before the Explanation, the following sub-section shall be inserted, namely:––
“(15) Notwithstanding anything contained in this section, no refund of unutilised input tax credit on account of zero rated supply of goods or of integrated tax paid on account of zero rated supply of goods shall be allowed where such zero rated supply of goods is subjected to export duty.”.
Amendment of section 61.
129. In section 61 of the Central Goods and Services Tax Act, in sub-section (3), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 62.
130. In section 62 of the Central Goods and Services Tax Act, in sub-section (1), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 63.
131. In section 63 of the Central Goods and Services Tax Act, after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 64.
132. In section 64 of the Central Goods and Services Tax Act, in sub-section (2), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 65.
133. In section 65 of the Central Goods and Services Tax Act, in sub-section (7), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 66.
134. In section 66 of the Central Goods and Services Tax Act, in sub-section (6), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 70.
135. In section 70 of the Central Goods and Services Tax Act, after sub-section (1), the following sub-section shall be inserted, namely:––
“(1A) All persons summoned under sub-section (1) shall be bound to attend, either in person or by an authorised representative, as such officer may direct, and the person so appearing shall state the truth during examination or make statements or produce such documents and other things as may be required.”.
Amendment of section 73.
136. In section 73 of the Central Goods and Services Tax Act,––
(i) in the marginal heading, after the words “Determination of tax”, the words and figures “, pertaining to the period up to Financial Year 2023-24,” shall be inserted;
(ii) after sub-section (11), the following sub-section shall be inserted, namely:––
“(12) The provisions of this section shall be applicable for determination of tax pertaining to the period up to Financial Year 2023-24.”
Amendment of section 74.
137. In section 74 of the Central Goods and Services Tax Act,-
(i) in the marginal heading, after the words “Determination of tax”, the words and figures “, pertaining to the period up to Financial Year 2023-24,” shall be inserted
(ii) after sub-section (11) and before Explanation 1, the following sub-section shall be inserted, namely:––
“(12) The provisions of this section shall be applicable for determination of tax pertaining to the period up to Financial Year 2023-24.”;
(iii) the Explanation 2 shall be omitted.
Insertion of new section 74A.
138. After section 74 of the Central Goods and Services Tax Act, the following section shall be inserted, namely:––
Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilised for any reason pertaining to Financial Year 2024-25 onward.
“74A. (1) Where it appears to the proper officer that any tax has not been paid or short paid or erroneously refunded, or where input tax credit has been wrongly availed or utilised, he shall serve notice on the person chargeable with tax which has not been so paid or which has been so short paid or to whom the refund has erroneously been made, or who has wrongly availed or utilised input tax credit, requiring him to show cause as to why he should not pay the amount specified in the notice along with interest payable thereon under section 50 and a penalty leviable under the provisions of this Act or the rules made thereunder:
Provided that no notice shall be issued, if the tax which has not been paid or short paid or erroneously refunded or where input tax credit has been wrongly availed or utilised in a financial year is less than one thousand rupees.
(2) The proper officer shall issue the notice under sub-section (1) within forty-two months from the due date for furnishing of annual return for the financial year to which the tax not paid or short paid or input tax credit wrongly availed or utilised relates to or within forty-two months from the date of erroneous refund.
(3) Where a notice has been issued for any period under sub-section (1), the proper officer may serve a statement, containing the details of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilised for such periods other than those covered under sub-section (1), on the person chargeable with tax.
(4) The service of such statement shall be deemed to be service of notice on such person under sub-section (1), subject to the condition that the grounds relied upon for such tax periods other than those covered under sub-section (1) are the same as are mentioned in the earlier notice.
(5) The penalty in case where any tax which has not been paid or short paid or erroneously refunded, or where input tax credit has been wrongly availed or utilised,––
(i) for any reason, other than the reason of fraud or any wilful-misstatement or suppression of facts to evade tax, shall be equivalent to ten per cent. of tax due from such person or ten thousand rupees, whichever is higher;
(ii) for the reason of fraud or any wilful-misstatement or suppression of facts to evade tax shall be equivalent to the tax due from such person.
(6) The proper officer shall, after considering the representation, if any, made by the person chargeable with tax, determine the amount of tax, interest and penalty due from such person and issue an order.
(7) The proper officer shall issue the order under sub-section (6) within twelve months from the date of issuance of notice specified in sub-section (2):
Provided that where the proper officer is not able to issue the order within the specified period, the Commissioner, or an officer authorised by the Commissioner senior in rank to the proper officer but not below the rank of Joint Commissioner of Central Tax, may, having regard to the reasons for delay in issuance of the order under sub-section (6), to be recorded in writing, before the expiry of the specified period, extend the said period further by a maximum of six months.
(8) The person chargeable with tax where any tax has not been paid or short paid or erroneously refunded, or where input tax credit has been wrongly availed or utilised for any reason, other than the reason of fraud or any wilful-misstatement or suppression of facts to evade tax, may,––
(i) before service of notice under sub-section (1), pay the amount of tax along with interest payable under section 50 of such tax on the basis of his own ascertainment of such tax or the tax as ascertained by the proper officer and inform the proper officer in writing of such payment, and the proper officer, on receipt of such information shall not serve any notice under sub-section (1) or the statement under sub-section (3), as the case may be, in respect of the tax so paid or any penalty payable under the provisions of this Act or the rules made thereunder;
(ii) pay the said tax along with interest payable under section 50 within sixty days of issue of show cause notice, and on doing so, no penalty shall be payable and all proceedings in respect of the said notice shall be deemed to be concluded
(9) The person chargeable with tax, where any tax has not been paid or short paid or erroneously refunded or where input tax credit has been wrongly availed or utilised by reason of fraud, or any wilful-misstatement or suppression of facts to evade tax, may,––
(i) before service of notice under sub-section (1), pay the amount of tax along with interest payable under section 50 and a penalty equivalent to fifteen per cent. of such tax on the basis of his own ascertainment of such tax or the tax as ascertained by the proper officer and inform the proper officer in writing of such payment, and the proper officer, on receipt of such information, shall not serve any notice under sub-section (1), in respect of the tax so paid or any penalty payable under the provisions of this Act or the rules made thereunder;
(ii) pay the said tax along with interest payable under section 50 and a penalty equivalent to twenty-five per cent. of such tax within sixty days of issue of the notice, and on doing so, all proceedings in respect of the said notice shall be deemed to be concluded;
(iii) pay the tax along with interest payable thereon under section 50 and a penalty equivalent to fifty per cent. of such tax within sixty days of communication of the order, and on doing so, all proceedings in respect of the said notice shall be deemed to be concluded.
(10) Where the proper officer is of the opinion that the amount paid under clause (i) of sub-section (8) or clause (i) of sub-section (9) falls short of the amount actually payable, he shall proceed to issue the notice as provided for in sub-section (1) in respect of such amount which falls short of the amount actually payable.
(11) Notwithstanding anything contained in clause (i) or clause (ii) of sub-section (8), penalty under clause (i) of sub-section (5) shall be payable where any amount of self-assessed tax or any amount collected as tax has not been paid within a period of thirty days from the due date of payment of such tax.
(12) The provisions of this section shall be applicable for determination of tax pertaining to the Financial Year 2024-25 onwards.
Explanation 1.––For the purposes of this section,––
(i) the expression “all proceedings in respect of the said notice” shall not include proceedings under section 132;
(ii) where the notice under the same proceedings is issued to the main person liable to pay tax and some other persons, and such proceedings against the main person have been concluded under this section, the proceedings against all the persons liable to pay penalty under sections 122 and 125 are deemed to be concluded.
Explanation 2.––For the purposes of this Act, the expression “suppression” shall mean non-declaration of facts or information which a taxable person is required to declare in the return, statement, report or any other document furnished under this Act or the rules made thereunder, or failure to furnish any information on being asked for, in writing, by the proper officer.
Amendment of section 75.
139. In section 75 of the Central Goods and Services Tax Act,––
(a) in sub-section (1), after the word and figures “section 74”, the words, brackets, figures and letter “or sub-sections (2) and (7) of section 74A” shall be inserted;
(b) after sub-section (2), the following sub-section shall be inserted, namely:––
“(2A) Where any Appellate Authority or Appellate Tribunal or court concludes that the penalty under clause (ii) of sub-section (5) of section 74A is not sustainable for the reason that the charges of fraud or any wilful-misstatement or suppression of facts to evade tax has not been established against the person to whom the notice was issued, the penalty shall be payable by such person, under clause (i) of sub-section (5) of section 74A.”;
(c) for sub-section (10), the following sub-section shall be substituted, namely:––
“(10) The adjudication proceedings shall be deemed to be concluded, if the order is not issued within the period specified in sub-section (10) of section 73 or in sub-section (10) of section 74 or in sub-section (7) of section 74A.”;
(d) in sub-section (11), after the word and figures “section 74”, the words, brackets, figures and letter “or sub-section (7) of section 74A” shall be inserted;
(e) in sub-section (12), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted;
(f) in sub-section (13), after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 104.
140. In section 104 of the Central Goods and Services Tax Act, in sub-section (1), in the Explanation, after the word and figures “section 74”, the words, brackets, figures and letter “or sub-sections (2) and (7) of section 74A” shall be inserted.
Amendment of section 107.
141. In section 107 of the Central Goods and Services Tax Act,––
(a) in sub-section (6), in clause (b), for the word “twenty-five”, the word “twenty” shall be substituted;
(b) in sub-section (11), in the second proviso, after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Amendment of section 109.
142. In section 109 of the Central Goods and Services Tax Act,–
(a) in sub-section (1), after the words “Revisional Authority”, the words “, or for conducting an examination or adjudicating the cases referred to in sub-section (2) of section 171, if so notified under the said section” shall be inserted;
(b) in sub-section (5), after the proviso, the following provisos shall be inserted, namely:––
“Provided further that the matters referred to in sub-section (2) of section 171 shall be examined or adjudicated only by the Principal Bench:
Provided also that the Government may, on the recommendations of the Council, notify other cases or class of cases which shall be heard only by the Principal Bench.”;
(c) in sub-section (6), for the words “The President”, the words, brackets and figure “Subject to the provisions of sub-section (5), the President” shall be substituted.
Amendment of section 112.
*143. In section 112 of the Central Goods and Services Tax Act,––
(a) with effect from the 1st day of August, 2024, in sub-section (1), after the words “from the date on which the order sought to be appealed against is communicated to the person preferring the appeal”, the words “; or the date, as may be notified by the Government, on the recommendations of the Council, for filing appeal before the Appellate Tribunal under this Act, whichever is later.” shall be inserted;
(b) with effect from the 1st day of August, 2024, in sub-section (3), after the words “from the date on which the said order has been passed”, the words “; or the date, as may be notified by the Government, on the recommendations of the Council, for the purpose of filing application before the Appellate Tribunal under this Act, whichever is later,” shall be inserted;
(c) in sub-section (6), after the words, brackets and figure “after the expiry of the period referred to in sub-section (1)”, the words, brackets and figure “or permit the filing of an application within three months after the expiry of the period referred to in sub-section (3)” shall be inserted;
(d) in sub-section (8), in clause (b),––
(i) for the words “twenty per cent.”, the words “ten per cent.” shall be substituted;
(ii) for the words “fifty crore rupees”, the words “twenty crore rupees” shall be substituted.
Amendment of section 122.
144. In section 122 of the Central Goods and Services Tax Act, with effect from the 1st day of October, 2023, in sub-section (1B), for the words “Any electronic commerce operator who”, the words and figures “Any electronic commerce operator, who is liable to collect tax at source under section 52,” shall be substituted.
Amendment of section 127.
145. In section 127 of the Central Goods and Services Tax Act, after the words and figures “section 73 or section 74”, the words, figures and letter “or section 74A” shall be inserted.
Insertion of new section 128A.
146. After section 128 of the Central Goods and Services Tax Act, the following section shall be inserted, namely:––
Waiver of interest or penalty or both relating to demands raised under section 73, for certain tax periods
“128A. (1) Notwithstanding anything to the contrary contained in this Act, where any amount of tax is payable by a person chargeable with tax in accordance with,––
(a) a notice issued under sub-section (1) of section 73 or a statement issued under sub-section (3) of section 73, and where no order under sub-section (9) of section 73 has been issued; or
(b) an order passed under sub-section (9) of section 73, and where no order under sub-section (11) of section 107 or sub-section (1) of section 108 has been passed; or
(c) an order passed under sub-section (11) of section 107 or sub-section (1) of section 108, and where no order under sub-section (1) of section 113 has been passed, pertaining to the period from 1st July, 2017 to 31st March, 2020, or a part thereof, and the said person pays the full amount of tax payable as per the notice or statement or the order referred to in clause (a), clause (b) or clause (c), as the case may be, on or before the date, as may be notified by the Government on the recommendations of the Council, no interest under section 50 and penalty under this Act, shall be payable and all the proceedings in respect of the said notice or order or statement, as the case may be, shall be deemed to be concluded, subject to such conditions as may be prescribed:
Provided that where a notice has been issued under sub-section (1) of section 74, and an order is passed or required to be passed by the proper officer in pursuance of the direction of the Appellate Authority or Appellate Tribunal or a court in accordance with the provisions of sub-section (2) of section 75, the said notice or order shall be considered to be a notice or order, as the case may be, referred to in clause (a) or clause (b) of this sub-section:
Provided further that the conclusion of the proceedings under this sub-section, in cases where an application is filed under sub-section (3) of section 107 or under sub-section (3) of section 112 or an appeal is filed by an officer of central tax under sub-section (1) of section 117 or under sub-section (1) of section 118 or where any proceedings are initiated under sub-section (1) of section 108, against an order referred to in clause (b) or clause (c) or against the directions of the Appellate Authority or the Appellate Tribunal or the court referred to in the first proviso, shall be subject to the condition that the said person pays the additional amount of tax payable, if any, in accordance with the order of the Appellate Authority or the Appellate Tribunal or the court or the Revisional Authority, as the case may be, within three months from the date of the said order:
Provided also that where such interest and penalty has already been paid, no refund of the same shall be available.
(2) Nothing contained in sub-section (1) shall be applicable in respect of any amount payable by the person on account of erroneous refund.
(3) Nothing contained in sub-section (1) shall be applicable in respect of cases where an appeal or writ petition filed by the said person is pending before Appellate Authority or Appellate Tribunal or a court, as the case may be, and has not been withdrawn by the said person on or before the date notified under sub-section (1).
(4) Notwithstanding anything contained in this Act, where any amount specified under sub-section (1) has been paid and the proceedings are deemed to be concluded under the said sub-section, no appeal under sub-section (1) of section 107 or sub-section (1) of section 112 shall lie against an order referred to in clause (b) or clause (c) of sub-section (1), as the case may be.”
Amendment of section 140.
*147. In section 140 of the Central Goods and Services Tax Act, with effect from the 1st day of July, 2017, in sub-section (7), for the words “even if the invoices relating to such services are received on or after the appointed day”, the words “whether the invoices relating to such services are received prior to, on or after, the appointed day” shall be substituted.
Amendment of section 171.
148. In section 171 of the Central Goods and Services Tax Act,––
(a) in sub-section (2), the following proviso and Explanation shall be inserted, namely:––
‘Provided that the Government may by notification, on the recommendations of the Council, specify the date from which the said Authority shall not accept any request for examination as to whether input tax credits availed by any registered person or the reduction in the tax rate have actually resulted in a commensurate reduction in the price of the goods or services or both supplied by him.
Explanation.––For the purposes of this sub-section, “request for examination” shall mean the written application filed by an applicant requesting for examination as to whether input tax credits availed by any registered person or the reduction in the tax rate have actually resulted in a commensurate reduction in the price of the goods or services or both supplied by him.’;
(b) the Explanation shall be renumbered as Explanation 1 thereof, and after Explanation 1 as so renumbered, the Explanation shall be inserted, namely:––
‘Explanation 2.––For the purposes of this section, the expression “Authority” shall include the “Appellate Tribunal”.’.
Amendment of Schedule III
149. In Schedule III to the Central Goods and Services Tax Act, after paragraph 8 and before Explanation 1, the following paragraphs shall be inserted, namely:––
“9. Activity of apportionment of co-insurance premium by the lead insurer to the co-insurer for the insurance services jointly supplied by the lead insurer and the co-insurer to the insured in co-insurance agreements, subject to the condition that the lead insurer pays the central tax, the State tax, the Union territory tax and the integrated tax on the entire amount of premium paid by the insured.
10. Services by insurer to the reinsurer for which ceding commission or the reinsurance commission is deducted from reinsurance premium paid by the insurer to the reinsurer, subject to the condition that the central tax, the State tax, the Union territory tax and the integrated tax is paid by the reinsurer on the gross reinsurance premium payable by the insurer to the reinsurer, inclusive of the said ceding commission or the reinsurance commission.”.
No refund of tax paid or input tax credit reversed.
150. No refund shall be made of all the tax paid or the input tax credit reversed, which would not have been so paid, or not reversed, had section 118 been in force at all material times.
Integrated Goods and Services Tax
Amendment of section 5
151. In the Integrated Goods and Services Tax Act, 2017 (hereinafter referred to as the Integrated Goods and Services Tax Act), in section 5, in sub-section (1), after the words “alcoholic liquor for human consumption”, the words “and un-denatured extra neutral alcohol or rectified spirit used for manufacture of alcoholic liquor, for human consumption” shall be inserted.
Insertion of new section 6A
152. After section 6 of the Integrated Goods and Services Tax Act, the following section shall be inserted, namely:––
Power not to recover Goods and Services Tax not levied or short-levied as a result of general practice.
“6A. Notwithstanding anything contained in this Act, if the Government is satisfied that––
(a) a practice was, or is, generally prevalent regarding levy of integrated tax (including non-levy thereof) on any supply of goods or services or both; and
(b) such supplies were, or are, liable to––
(i) integrated tax, in cases where according to the said practice, integrated tax was not, or is not being, levied; or
(ii) a higher amount of integrated tax than what was, or is being, levied, in accordance with the said practice,
the Government may, on the recommendation of the Council, by notification in the Official Gazette, direct that the whole of the integrated tax payable on such supplies, or, as the case may be, the integrated tax in excess of that payable on such supplies, but for the said practice, shall not be required to be paid in respect of the supplies on which the integrated tax was not, or is not being, levied, or was, or is being, short-levied, in accordance with the said practice.”.
Amendment of section 16.
153. In section 16 of the Integrated Goods and Services Tax Act,––
(a) in sub-section (4),––
(i) in clause (i), after the words “claim refund of the tax so paid”, the words and figures “in accordance with the provisions of section 54 of the Central Goods and Services Tax Act or the rules made thereunder” shall be inserted;
(ii) in clause (ii), for the words “which may be exported on payment of integrated tax and the supplier of such goods or services may claim the refund of tax so paid”, the words and figure “or both, on zero rated supply of which, the supplier may pay integrated tax and claim the refund of tax so paid, in accordance with the provisions of section 54 of the Central Goods and Services Tax Act or the rules made thereunder” shall be substituted;
(b) after sub-section (4), the following sub-section shall be inserted, namely:––
“(5) Notwithstanding anything contained in sub-sections (3) and (4), no refund of unutilised input tax credit on account of zero rated supply of goods or of integrated tax paid on account of zero rated supply of goods shall be allowed where such zero rated supply of goods are subjected to export duty.”.
Amendment of section 20.
154. In section 20 of the Integrated Goods and Services Tax Act, for the fifth proviso, the following proviso shall be substituted, namely:––
“Provided also that a maximum amount of forty crore rupees shall be payable for each appeal to be filed before the Appellate Authority or the Appellate Tribunal.”.
Union Territory Goods and Services Tax
Amendment of section 7.
155. In the Union Territory Goods and Services Tax Act, 2017 (hereinafter referred as the Union Territory Goods and Services Tax Act), in section 7, in sub-section (1), after the words “alcoholic liquor for human consumption”, the words “and un-denatured extra neutral alcohol or rectified spirit which is used for manufacture of alcoholic liquor, for human consumption” shall be inserted.
Insertion of new section 8A.
156. After section 8 of the Union Territory Goods and Services Tax Act, the following section shall be inserted, namely:––
Power not to recover Goods and Services Tax not levied or short-levied as a result of general practice.
“8A. Notwithstanding anything contained in this Act, if the Government is satisfied that––
(a) a practice was, or is, generally prevalent regarding levy of Union territory tax (including non-levy thereof) on any supply of goods or services or both; and
(b) such supplies were, or are, liable to––
(i) Union territory tax, in cases where according to the said practice, Union territory tax was not, or is not being, levied; or
(ii) a higher amount of Union territory tax than what was, or is being, levied, in accordance with the said practice,
the Government may, on the recommendation of the Council, by notification in the Official Gazette, direct that the whole of the Union territory tax payable on such supplies, or, as the case may be, the Union territory tax in excess of that payable on such supplies, but for the said practice, shall not be required to be paid in respect of the supplies on which the Union territory tax was not, or is not being, levied, or was, or is being, short-levied, in accordance with the said practice.”.
Goods and Services Tax
(Compensation to States)
Insertion of new section 8A
157. In the Goods and Services Tax (Compensation to States) Act, 2017, after section 8, the following section shall be inserted, namely:––
Power not to recover cess not levied or short-levied as a result of general practice
“8A. Notwithstanding anything contained in this Act, if the Government is satisfied that––
(a) a practice was, or is, generally prevalent regarding levy of cess (including non-levy thereof) on any supply of goods or services or both; and
(b) such supplies were, or are, liable to,-
(i) cess, in cases where according to the said practice, cess was not, or is not being, levied; or
(ii) a higher amount of cess than what was, or is being, levied, in accordance with the said practice,
the Government may, on the recommendation of the Council, by notification in the Official Gazette, direct that the whole of the cess payable on such supplies, or, as the case may be, the cess in excess of that payable on such supplies, but for the said practice, shall not be required to be paid in respect of the supplies on which the cess was not, or is not being, levied, or was, or is being, short-levied, in accordance with the said practice.”
PART II
AMENDMENT TO THE FINANCE ACT, 2001
Amendment of Act 14 of 2001.
159. In section 136 of the Finance Act, 2001, for sub-section (3), the following sub-section shall be substituted, namely:-
“(3) The provisions of the Central Excise Act, 1944 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the National Calamity duty leviable under this section in respect of the goods specified in the Seventh Schedule as they apply in relation to the levy and collection of duties of excise on such goods under that Act or all rules or regulations made thereunder, as the case may be.”
PART III
AMENDMENT TO THE FINANCE ACT, 2002
Amendment of Act 20 of 2002.
160. In section 147 of the Finance Act, 2002, for sub-section (3), the following sub-section shall be substituted, namely:-
“(3) The provisions of the Central Excise Act, 1944 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the Special Additional Excise Duty leviable under this section in respect of the goods specified in the Eighth Schedule, as they apply in relation to the levy and collection of duties of excise on such goods under that Act or all rules or regulations made thereunder, as the case may be.”.
PART IV
AMENDMENT TO THE FINANCE ACT, 2003
Amendment of Act 32 of 2003.
161. In section 134 of the Finance Act, 2003, for sub-section (4), the following sub-section shall be substituted, namely:-
“(4) The provisions of the Customs Act, 1962 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the National Calamity Duty of Customs leviable under this section in respect of the goods specified in the Seventh Schedule to the Finance Act, 2001, as amended by the Thirteenth Schedule, as they apply in relation to the levy and collection of duties of customs on such goods under that Act or all rules or regulations made thereunder, as the case may be.”.
PART V
AMENDMENT TO THE FINANCE (NO. 2) ACT, 2004
Amendment of Act 23 of 2004
162. In the Finance (No.2) Act, 2004, in Chapter VII, in section 98, in the Table, in serial number 4, in column (3), with effect from the 1st day of October, 2024,––
(i) against entry (a) relating to sale of an option in securities, for the figures and word “0.0625 per cent.”, the figures and word “0.1 per cent.” shall be substituted; and
(ii) against entry (c) relating to sale of a futures in securities, for the figures and word “0.0125 per cent.”, the figures and word “0.02 per cent.” shall be substituted.
PART VI
AMENDMENT TO THE FINANCE ACT, 2005
Amendment of Act 18 of 2005.
163. In section 85 of the Finance Act, 2005, for sub-section (3), the following sub-section shall be substituted, namely:-
“(3) The provisions of the Central Excise Act, 1944 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the additional duty of excise leviable under this section in respect of the goods specified in the Seventh Schedule as they apply in relation to the levy and collection of duties of excise on such goods under that Act or all rules or regulations made thereunder, as the case may be.”.
PART VIII
AMENDMENTS TO THE FINANCE ACT, 2016
Amendment of Act 28 of 2016.
165. In the Finance Act, 2016,––
(a) in section 163, for sub-section (3), the following sub-section shall be substituted and shall be deemed to have been substituted with effect from the 1st day of August, 2024, namely:––
“(3) It shall apply to consideration received or receivable for––
(a) specified services provided on or after the commencement of this Chapter; and
(b) e-commerce supply or services made or provided or facilitated on or after the 1st day of April, 2020 but before the 1st day of August, 2024:”;
(b) in section 165A, after sub-section (3), the following sub-section shall be inserted and shall be deemed to have been inserted with effect from 1st day of August, 2024, namely:––
“(4) The provisions of this section shall not apply to any consideration received or receivable by an e-commerce operator from e-commerce supply or services made or provided or facilitated by it on or after the 1st day of August, 2024.”.
PART IX
AMENDMENTS TO THE FINANCE ACT, 2018
166. In the Finance Act, 2018,-
Amendment of Act 13 of 2018.
(a) in section 110, for sub-section (5), the following sub-section shall be substituted, namely:-
“(5) The provisions of the Customs Act, 1962 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the Social Welfare Surcharge on imported goods as they apply in relation to the levy and collection of duties of customs on such goods under that Act or all rules or regulations made thereunder, as the case may be.”;
(b) in section 111, for sub-section (3), the following sub-section shall be substituted, namely:-
“(3) The provisions of the Customs Act, 1962 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the additional duty of customs leviable under this section in respect of scheduled goods as they apply in relation to the levy and collection of duties of customs on scheduled goods under that Act or all rules or regulations made thereunder, as the case may be.”;
(c) in section 112, for sub-section (3), the following sub-section shall be substituted, namely:-
“(3) The provisions of the Central Excise Act, 1944 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the cess leviable under this section in respect of scheduled goods as they apply in relation to the levy and collection of duties of excise on such goods under that Act or all rules or regulations made thereunder, as the case may be.”.
PART X
AMENDMENT TO THE FINANCE ACT, 2020
Amendment of Act 12 of 2020.
167. In section 141 of the Finance Act, 2020, for sub-section (5), the following sub-section shall be substituted, namely:-
“(5) The provisions of the Customs Act and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the Health Cess leviable under this Chapter in respect of the goods specified in the Fourth Schedule, as they apply in relation to the levy and collection of duties of customs on such goods under that Act or all rules or regulations made thereunder, as the case may be.”.
PART XI
AMENDMENTS TO THE FINANCE ACT, 2021
Amendment of Act 13 of 2021.
168. In the Finance Act, 2021,-
(a) in section 124, for sub-section (5), the following sub-section shall be substituted, namely:-
“(5) The provisions of the Customs Act, 1962 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the Agriculture Infrastructure and Development Cess on imported goods as they apply in relation to the levy and collection of duties of customs on such goods under that Act or all rules or regulations made thereunder, as the case may be.”;
(b) in section 125, for sub-section (4), the following sub-section shall be substituted, namely:-
“(4) The provisions of the Central Excise Act, 1944 and all rules and regulations made thereunder, including but not limited to those relating to the date for determination of rate of duty, assessment, non-levy, short-levy, refunds, exemptions, interest, recovery, appeals, offences and penalties shall, as far as may be, apply in relation to the levy and collection of the cess leviable under this section in respect of scheduled goods as they apply in relation to the levy and collection of duties of excise on such goods under that Act or all rules or regulations made thereunder, as the case may be.”.
THE SECOND SCHEDULE
(See section 105)
| Notification number to be amended | Amendment | Period of effect of amendment |
| (1) | (2) | (3) |
|
G.S.R. number 356(E), dated 10th May, 2023 [37/2023- Customs, dated 10th May, 2023]. |
Conditions |
1st day of April, 2023 to 10th day of May, 2023 (both days inclusive). |
|
“(a) Importer produces to the Deputy Commissioner or the Assistant Commissioner of Customs, as the case may be, a valid Tariff Rate Quota (TRQ) authorisation for the Financial Year 2022-23 allotted by Directorate General of Foreign Trade; (b) The duty and cess benefit under the aforesaid valid TRQ authorisation shall be restricted only to the extent of unutilised quota which is not used to claim such benefit under notification No. 30/2022-Customs, dated the 24th May, 2022, or under this notification from 11th May, 2023 and up to 30th June, 2023 (both days inclusive); (c) Bill of lading for concerned import consignment is issued on or before 31st March, 2023; (d) The TRQ is allotted to the importer by the Directorate General of Foreign Trade, in accordance with the relevant procedure as specified in the Hand Book of Procedures, 2015-20 or 2023, as applicable; and (e) The TRQ authorisation shall contain the name and address of the importer, IEC code, Customs notification No., sub-heading or tariff item as applicable, quantity and validity period of certificate.”. |
THE THIRD SCHEDULE
[See section 111(a)]
In the First Schedule to the Customs Tariff Act,-
(i) in Chapter 39, for the entry in column (4) occurring against all the tariff items of headings 3920 and 3921, the entry “25%” shall be substituted;
(ii) in Chapter 66, for the entry in column (4) occurring against the tariff item 6601 10 00, the entry “20% or Rs. 60 per piece, whichever is higher” shall be substituted;
(iii) in Chapter 98, for the entry in column (4) occurring against tariff item 9802 00 00, the entry “150%” shall be substituted.
THE FOURTH SCHEDULE
[See section 111(b)]
In the Customs Tariff Act, in the First Schedule,-
| Tariff Item | Description of goods | Unit |
Rate of duty |
|
|
Standard |
Preferential |
|||
| (1) | (2) | (3) | (4) | (5) |
(1) in Chapter 19, in heading 1905,
(i) for sub-heading 1905 32, tariff item 1905 32 11 and tariff item 1905 32 19 and the entries relating thereto, the following shall be substituted, namely:-
| “1905 32 | --Waffles and wafers: | |||
| 1905 32 11 | ---Coated with chocolate or containing chocolate | kg. | 30% |
-”; |
(ii) in sub-heading 1905 90, after tariff item 1905 90 40 and the entries relating thereto, the following shall be inserted, namely:-
| “--- Communion wafers: | ||||
| 1905 90 51 | ----Coated with chocolate or containing chocolate |
kg. |
30% |
- |
| 1905 90 59 | ---- Other | kg. | 30% |
-”; |
(2) in Chapter 20, for the entry in column (4) occurring against tariff items 2008 19 20 and 2008 19 30, the entry “150%” shall be substituted;
(3) in Chapter 27,-
(i) in Supplementary Note, after sub-note (k), the following sub-note shall be inserted, namely:-
‘(l) for the purposes of tariff item 2710 19 33, the term “Blended Aviation turbine fuel” means any Aviation turbine fuel containing by weight 70% or more of Petroleum Oils or Oils obtained from Bituminous Minerals, blended with Synthesized Hydrocarbons conforming to Indian Standards Specification of Bureau of Indian Standards IS 17081:2019.’;
(ii) after tariff item 2710 19 32 and the entries relating thereto, the following shall be inserted, namely:-
| “2710 19 33 | ---- Blended Aviation turbine fuel | kg. | 5% |
-”; |
(4) in Chapter 29,-
(i) after sub-heading note 2, the following Supplementary Note shall be inserted, namely:-
‘Supplementary Note:
For the purposes of tariff item 2906 11 10, the term “Natural Menthol” means an organic compound (C10H20O) which is obtained from the distillation of the Japanese type oil of mint or menthol mint known as Mentha arvensis but does not include those made synthetically through any chemical routes.’;
(ii) for tariff item 2906 11 00 and the entries relating thereto, the following shall be substituted, namely:-
| “2906 11 | -- Menthol: | |||
| 2906 11 10 | --- Natural Menthol |
kg. |
7.5% |
- |
| 2906 11 90 | --- Other | kg. | 7.5% |
-”; |
(iii) tariff item 2922 29 33 and the entries relating thereto shall be omitted;
(iv) after tariff item 2924 29 70 and the entries relating thereto, the following shall be inserted, namely:-
| “2924 29 80 | --- Paracetamol | kg. | 7.5% |
-”; |
(5) in Chapter 38,-
(i) for the entry in column (2) occurring against tariff item 3818 00 10, the following shall be substituted, namely:-
“--- Undiffused silicon wafers”;
(ii) after tariff item 3818 00 10 and the entries relating thereto, the following shall be inserted, namely:-
| “3818 00 20 | --- Silicon carbide epitaxial thin film on substrate |
kg. |
Free |
- |
| 3818 00 30 | --- Gallium nitride epitaxial thin film on substrate | kg. | Free |
-”; |
(6) in Chapter 39,-
(i) after tariff item 3920 10 92 and the entries relating thereto, the following shall be inserted, namely:-
| “3920 10 93 | ---- Armour for ballistic protection | kg. | 25% |
-”; |
(ii) after tariff item 3921 90 26 and the entries relating thereto, the following shall be inserted, namely:-
| “3921 90 27 | ---- Architectural membrane | kg. | 25% |
-”; |
(7) in Chapter 57,-
(i) after Note 2, the following Supplementary Note shall be inserted, namely:-
‘Supplementary Note:
For the purposes of tariff items 5703 29 22, 5703 39 31, 5703 39 32, 5703 39 33 and 5703 39 39, the term “Special Finishes” means process of making the product with any one or more of the following properties such as fire resistant, fire retardant, chemical resistant, anti-static, dust resistant, anti-stain, anti-microbial, anti-odor, UV stabilized, heat resistant, etc.’;
(ii) in heading 5703,-
(a) for tariff item 5703 29 20 and the entries relating thereto, the following shall be substituted, namely:-
| “--- 100% polyamide tufted velour, cut pile or loop pile | ||||
| 5703 29 21 | ---- With jute, rubber latex or PU foam backing | m2 | 20% or Rs.70 per sq. metre, whichever is higher |
- |
| 5703 29 22 | ---- With ethylene vinyl acetate or vinyl acetate ethylene or latex coating and/or extruded polyvinyl chloride or thermoplastic polyolefin, with special finishes | m2 | 20% or Rs.70 per sq. metre, whichever is higher |
- |
| 5703 29 29 | ---- Other | m2 | 20% or Rs.70 per sq. metre, whichever is higher |
-”; |
(b) after tariff item 5703 39 20 and the entries relating thereto, the following shall be inserted, namely:-
| “--- Tufted velour, cut pile or loop pile carpet mats with ethylene vinyl acetate or vinyl acetate ethylene or latex coating and/or extruded polyvinyl chloride or thermoplastic polyolefin, with special finishes: | ||||
| 5703 39 31 | ---- Of
100% polypropylene
|
m2 | 20% or Rs. 55 per sq. metre, whichever is higher |
- |
| 5703 39 32 | ---- Of 100% polyester | m2 | 20% or Rs. 55 per sq. metre, whichever is higher |
- |
| 5703 39 33 | ---- Of 100% polyethylene | m2 | 20% or Rs. 55 per sq. metre, whichever is higher |
- |
| 5703 39 39 | ---- Other | m2 | 20% or Rs.55 per sq. metre, whichever is higher |
-”; |
(8) in Chapter 63, after tariff item 6307 90 91 and the entries relating thereto, the following shall be inserted, namely:-
| “6307 90 92 | ---- Armour for ballistic protection | u |
10% |
-”; |
(9) in Chapter 65, after tariff item 6506 10 10 and the entries relating thereto, the following shall be inserted, namely:-
| “6506 10 20 | --- Headgear for ballistic protection | u |
10% |
-”; |
(10) in Chapter 69, for tariff item 6914 90 00 and the entries relating thereto, the following shall be substituted, namely:-
| “6914 90 | - Other : |
|
||
| 6914 90 10 | --- Armour for ballistic protection | kg. |
10% |
- |
| 6914 90 90 | --- Other | kg. |
10% |
-”; |
(11) in Chapter 73, for tariff item 7308 10 00 and the entries relating thereto, the following shall be substituted, namely:-
| “7308 10 | - Bridges and bridge-sections : |
|
||
| 7308 10 10 | --- Portable bridge | u |
15% |
- |
| 7308 10 90 | --- Other | u |
15% |
-”; |
(12) in Chapter 76, for tariff item 7610 90 20 and the entries relating thereto, the following shall be substituted, namely:-
| “--- Parts of structures, not elsewhere specified : |
|
|||
| 7610 90 21 | ---- Portable bridge | kg. |
10% |
- |
| 7610 90 29 | ---- Other | kg. |
10% |
-”; |
(13) in Chapter 84,-
(i) after tariff item 8412 29 10 and the entries relating thereto, the following shall be inserted, namely:-
| “8412 29 20 | --- Hydraulic systems for use in goods of Chapter 89 | u |
7.5% |
-”; |
(ii) for tariff item 8430 69 00 and the entries relating thereto, the following shall be substituted, namely:-
| “8430 69 | -- Other : |
|
||
| 8430 69 10 | --- Mine plough machinery | u |
7.5% |
- |
| 8430 69 90 | --- Other | u |
7.5% |
-”; |
(iii) in sub-heading 8443 99,-
(a) for the entry in column (2) occurring against tariff item 8443 99 51, the entry “----Cartridges or toners, with print head assembly” shall be substituted;
(b) for the entry in column (2) occurring against tariff item 8443 99 52, the entry “---- Cartridges or toners, without print head assembly” shall be substituted;
(iv) after tariff item 8479 89 70 and the entries relating thereto, the following shall be inserted, namely: -
| “8479 89 80 | --- Machinery for use in goods of Chapter 88 or 89 | u |
7.5% |
-”; |
(14) in Chapter 85, for tariff item 8537 10 00 and the entries relating thereto, the following shall be substituted, namely:-
| “8537 10 | - For a voltage not exceeding 1,000 V : |
|
||
| 8537 10 10 | --- For use in goods of Chapter 88 or 89 or 93 | kg. |
15% |
- |
| 8537 10 90 | --- Other | kg. |
15% |
-”; |
(15) in Chapter 87,-
(i) after sub-heading note 1, the following Supplementary Note shall be inserted, namely:-
‘Supplementary Note:
For the purposes of tariff item 8711 60 80, the term “E-bicycle or battery operated pedal assisted vehicle” means vehicle equipped with an auxiliary electric motor having a thirty-minute power less than 0.25 kW and maximum speed not exceeding 25 km/h and conforming to the provisions of the Motor Vehicles Act, 1988 (59 of 1988) and the rules made thereunder.’;
(ii) for tariff item 8705 90 00 and the entries relating thereto, the following shall be substituted, namely:-
| “8705 90 | - Other : |
|
||
| 8705 90 10 | --- Lorries (Trucks) fitted with bridging systems | u |
10% |
- |
| 8705 90 90 | --- Other | u |
10% |
-”; |
(iii) after tariff item 8711 60 30 and the entries relating thereto, the following shall be inserted, namely:-
| “8711 60 80 | --- E-bicycle or battery-operated pedal assisted vehicle | u |
100% |
-”; |
(16) in Chapter 88, for tariff item 8807 30 00 and the entries relating thereto, the following shall be substituted, namely:-
| “8807 30 | - Other parts of aeroplanes, helicopters or unmanned aircraft : |
|
||
| 8807 30 10 | --- Of aeroplanes, helicopters | kg. |
2.5% |
- |
| 8807 30 20 | --- Of unmanned aircraft | kg. |
2.5% |
-”; |
(17) in Chapter 89, for tariff item 8906 90 00 and the entries relating thereto, the following shall be substituted, namely:-
| “8906 90 | - Other : |
|
||
| 8906 90 10 | --- Patrol or surveillance boat, air-cushion vehicle, remote-operated vehicle | u |
10% |
- |
| 8906 90 90 | --- Other | u |
10% |
-”; |
(18) in Chapter 93, for tariff item 9305 99 00 and the entries relating thereto, the following shall be substituted, namely:-
| “9305 99 | -- Other : |
|
||
| 9305 99 10 | --- Of goods of heading 9304 | kg. |
10% |
- |
| 9305 99 90 | --- Other | kg. |
10% |
-”; |
THE FIFTH SCHEDULE
(See section 112)
| Notification number and date | Amendment | Date of effect of amendment |
| (1) | (2) | (3) |
|
G.S.R. 163(E), dated the 17th March, 2012 [12/2012-Central Excise, dated 17th March, 2012] |
In the said notification, in the ANNEXURE, in Condition No.43, under heading “Conditions”, in clause (b),- (i) for the words “a term of one hundred and twenty-six months”, the words “a term of one hundred and sixty-two months” shall be substituted; and (ii) for the words “with in a period of one hundred and twenty months”, the words “within a period of one hundred and fifty-six months” shall be substituted. |
29th day of June, 2017. |
THE SIXTH SCHEDULE
(See section 113)
| Sl. No. | Notification number and date | Amendment | Date of effect of amendment |
| (1) | (2) | (3) | (4) |
|
1. |
G.S.R.794(E), dated the 30th June, 2017 [12/2017-Central Excise, dated the 30th June, 2017]. |
In the said Notification,- (i) in the preamble,- (a) after the words, figures and brackets “the Central Excise Act, 1944 (1 of 1944)”, the words, figures and brackets “read with section 83 of the Finance Act, 2010 (14 of 2010)” shall be inserted; (b) after the words “Central Excise Act”, the words “and Clean Environment Cess leviable thereon under the said Finance Act” shall be inserted; (ii) after clause (b), the following clause shall be inserted, namely:- “(c) the appropriate goods and services tax compensation cess, wherever applicable, shall be payable on such goods, if cleared on or after the 1st July, 2017 as leviable on such goods under the Goods and Services Tax (Compensation to States) Act, 2017 (15 of 2017).”. |
30th day of June, 2017. |
DR. RAJIV MANI,
Secretary to the Govt. of India.