Section 102 - Amendment of section 9. - Finance Act, 2021

Amendment of section 9. 102. In section 9 of the Customs Tariff Act, (i) in sub-section (1A), after the words such other article also , the words from such date, not earlier than the date of initiation of the inquiry, as the Central Government may, by notification in the Official Gazette, specify shall be inserted; (ii) after sub-section (1A), the following sub-section shall be inserted, namely: (1B) Where the Central Government, on such inquiry as it considers necessary, is of the opinion that absorption of countervailing duty imposed under sub-section (1) has taken place whereby the countervailing duty so imposed is rendered ineffective, it may modify such duty to counter the effect of such absorption, from such date, not earlier than the date of initiation of the inquiry, as the Central Government may, by notification in the Official Gazette, specify. Explanation . For the purposes of this sub-section, absorption of countervailing duty is said to have taken place,- (a) if there is a decrease in the export price of an article without any commensurate change in the resale price in India of such article imported from the exporting country or territory; or (b) under such other circumstances as may be provided by rules. ; (iii) after sub-section (2), the following sub-section shall be inserted, namely:- (2A) Notwithstanding anything contained in sub-sections (1) and (2), a notification issued under sub-section (1) or any countervailing duty imposed under sub-section (2) shall not apply to article imported by a hundred per cent. export-oriented undertaking or a unit in a special economic zone, unless,- (i) it is specifically made applicable in such notification or to such undertaking or unit; or (ii) such article is either cleared as such into the domestic tariff area or used in the manufacture of any goods that are cleared into the domestic tariff area, in which case, countervailing duty shall be imposed on that portion of the article so cleared or used, as was applicable when it was imported into India. Explanation . For the purposes of this sub-section, (a) the expression hundred per cent. export-oriented undertaking shall have the same meaning as assigned to it in clause (i) of Explanation 2 to sub-section (1) of section 3 of the Central Excise Act, 1944 (1 of 1944.); (b) the expression special economic zone shall have the same meaning as assigned to it in clause (za) of section 2 of the Special Economic Zones Act, 2005 (28 of 2005.). ; (iv) in sub-section (6), (a) in the first proviso, for the words of five years , the words up to five years shall be substituted; (b) after the second proviso, the following proviso shall be inserted, namely: Provided also that if the said duty is revoked temporarily, the period of such revocation shall not exceed one year at a time. .