Date for determination of the rate of cess on crude oil consequent upon re-fixation from the rate at Rs. 300/- to 600/- per tonne. Clarification regarding - Central Excise - 7/88-CX.8

Date for determination of the rate of cess on crude oil consequent upon re-fixation from the rate at Rs. 300/- to 600/- per tonne. Clarification regarding Circular No. 7/88-CX.8 Dated 6-4-1988 [From F. No. 262/29/87-CX.8] Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : Date for determination of the rate of cess on crude oil consequent upon re-fixation from the rate at Rs. 300/- to 600/- per tonne. Clarification regarding. Attention is invited to Ministry of Petroleum Natural Gas Notification S.O. 147(E), dated 1st March, 1987, whereby the rate of duty of excise in respect of crude oil has been increased from Rs. 300/- to Rs. 600/- per tonne. Doubts have been raised as to what should be the date for determination of the revised rate of cess on crude oil. The matter has been examined by the Board. As per Section 15(1) of Oil Industry Development Act the date on which the crude oil is removed from the place where it is produced is the date for determination of the rate of cess and the quantity on which cess is required to be paid would be the quantity which is received in the refinery or factory. Therefore the Board has decided that revised cess would be applicable w.e.f. 1-3-1987 on crude oil removed from the place where it is produced.