9911796707
TMI BlogCentral Excise - Recommendations of Public Accounts Committee (1993-94) (10th Lok Sabha) - 69th Report- Follow up - RegardingX X X X Extracts X X X X X X X X Extracts X X X X ..... - NINTH REPORT PUBLIC ACCOUNTS COMMITTEE (1993-94) (TENTH LOK SABHA) UNION EXCISE DUTIES - NON LEVY/ SHORT LEVY OF DUTY DUE TO INCORRECT GRANT OF EXEMPTION - MOTOR VEHICLES MINISTRY OF FINANCE (DEPARTMENT OF REVENUE) (Action taken on 44th Report of Public Accounts Committee 10th Lok Sabha) SEAL Presented to Lok Sabha on 22-4-1994 Laid in Rajya Sabha on 21-4-1994 LOK SABHA SECRETARIAT NEW DELHI April, 1994/Chaitra, 1916 (Saka) PUBLIC ACCOUNTS COMMITTEE (1993-94) CHAIRMAN Shri Bhagwan Shankar Rawat MEMBERS LOK SABHA 1. Shri Nirmal Kanti Chatterjee 2. Dr. K.V.R. Chowdary 3. Shri Bandaru Dattatraya 4. Shri Sharad Dighe 5. Shri Jagat Veer Singh Drona 6. Shri Srikanta Jena 7. Smt. Krishnendra Kaur 8. Shri Rama Krishna Monathala 9. Smt. Geeta Mukherjee 10. Shri D.K. Naikar 11. Shri Mrutyunjaya Nayak 12. Shri Motilat Singh 13. Shri S.B. Thorat 14. Shri Satya Pal Singh Yadav RAJYA SABHA 15. Shri S.S. Ahluwalia 16. Shri Somappa R. Bommai 17. Shri Anant Ram Jaiswal 18. Miss Saroj Khaparde 19. Shri Murasoli Maran 20. Smt. Jayanthi Natrajan 21. Shri. Viren J ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rendered to them in the matter by the Office of the Comptroller and Auditor General of India. NEW DELHI Sd/- BHAGWAN SHANKAR RAWAT CHAIRMAN PUBLIC ACCOUNTS COMMITTEE APRIL 13, 1994 CHAITRA 23, 1916 (SAKA) REPORT This Report of the Committee deals with the action taken by Government of on the recommendations and observations of the Committee contained in their 44th Report (Tenth Lok Sabha) on "Union Excise Duties - Non Levy/Short Levy of Duty due to Incorrect Grant of Exemption." 2. The 44th Report which was presented to Lok Sabha on 28th April, 1993 contained 8 recommendations/observations. Action taken notes in respect of all these recommendations/observations have been received from the Ministry of Finance (Department of Revenue). Government have accepted all the recommendations/observations of the Committee. The Action Taken Notes have been reproduced in Chapter II of this Report. 3. The Committee will deal with in the succeeding paragraph the action taken by Government on the recommendations made by the Committee. 4. As per a Notification No. 162/86-C.E. issued on 1 March, 1986, Public transport passenger motor vehicles falling under Heading ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s accepted and taking necessary action in that direction had suddenly changed their stand through a letter written to audit on 27th August, 1992 that the audit objection was not admissible. This revised decision was stated to have been taken after consideration of matter by the full CBEC. In support of the Board's latest interpretation leading to non-acceptance of audit objection the Finance Secretary had also stated during evidence that basically the concession had been given to the body builder because he was a small manufacturer. Differing with the interpretation, the Committee had recommended review of the position by the Board. 8. The Committee in this connection, in para 43 of the Report had recommended as follows : "As desired by the Committee, the Finance Secretary assured during evidence to place all the facts of the case before the Law Ministry for obtaining a legal opinion in the matter. The Committee desire that the lacunae highlighted in the preceding paragraph should be specifically brought out to the notice of the Ministry of Law and CEGAT. The Committee would like to be informed of the legal opinion tendered by the Law Ministry and further action taken by the De ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng made to get the case listed for early hearing and an expeditious decisions." Para 45 "The Collectors of Central Excise, Chandigarh and Meerut have reported that regular demands are being issued pending final decision to protect the Government revenue." 11. From the changes made in Central Excise duty in the Budget 1994 it was, however, seen that the scope of exemption to body building of motor vehicles is being restricted. In cases, where a chassis manufacturer sends the chassis for body building to a body builder on his own account and such motor vehicles, after body building, are returned to the chassis manufacturer, or sold even from the premises of the body builder by the chassis owner on his own account, the exemption from excise duty to the body builders shall not be applicable and excise duty would be leviable on such body building. But in case where a chassis is purchased by a customer, who sends the chassis for body building on his own account to a body builder for fabrication of body, in such cases exemption from excise duty would be available. The proviso to Notification No. 162/86-C.E. has been suitably amended for this purpose by Notification No. 49/94-C.E. 12 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
