Government amends CE Tariff
GOVERNMENT has amended the First Schedule to the Central Excise Tariff Act, 1985 by a notification. But can the government amend the tariff by a notification?
Yes, it can! There are two provisions in the Central Excise Tariff Act, 1985 , by which the government can amend the tariff by a notification.
Section 3 of the Tariff Act reads as:-
3. Emergency power of Central Government to increase duty of excise. - (1) Where, in respect of any goods, the Central Government is satisfied that the duty leviable thereon under section 3 of the Central Excise Act, 1944 (1 of 1944) should be increased and that circumstances exist which render it necessary to take immediate action, the Central Government may, by notification in the Official Gazette, direct an amendment of the First Schedule and the Second Schedule to be made so as to substitute for the rate of duty specified in the First Schedule and the Second Schedule in respect of such goods, ------
Section 5 provides for,
5. (1) Where the Central Government is satisfied that it is necessary so to do in the public interest, it may, by notification in the Official Gazette, amend the First Schedule and the Second Schedule:
Provided that such amendment shall not alter or affect in any manner the rates specified in the First Schedule and the Second Schedule in respect of goods at which duties of excise shall be leviable on the goods under the Central Excise Act, 1944. -------
Now the present amendment is under Section 5.