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TMI Blog2015 (6) TMI 507X X X X Extracts X X X X X X X X Extracts X X X X ..... he form of official amendments and no separate Bill was required for the said purpose, no declaration under the PCT Act is permissible. However, in view of the provisions of section 4(2)(a) of the PCT Act, the declaration made ceases to have force of law once the enactment comes into operation. - as the amendments were proposed to the Finance Bill, 2012 only on 08.05.2012 and assented by the President on 28.05.2012, the same will have its applicability only from the date of assent by the President. Thus, insofar as the levy of excise duty on cigarette at enhanced rates, as contemplated in the amendments moved on 08.05.2012, is concerned, the amended provisions will have effect only from the date of assent of President i.e. from 28.05.2012. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Subject: Effective date for levy of excise duty on cigarettes at the enhanced rates vide Finance Act, 2012 - Clarification - Regarding. I am directed to invite your attention to the above mentioned subject. 2. In the Budget 2012-13, vide Finance Bill, 2012 as introduced in the Lok Sabha on 16.03.2012, the basic excise duty rate was increased on various lengths of cigarettes by imposing an ad valorem component in addition to the specific duty, through clause 141 of the Finance Bill read with the Seventh Schedule as under: (i) The lowest length slab of cigarettes upto 60 mm was expanded to include cigarettes upto 65 mm while maintaining the existing duty applicable to erstwhile 60mm cigarettes. (ii) An ad valorem compone ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ared under PCT Act, therefore the rates proposed in the Finance Bill came into effect from 17.03.2012. And, since the rates proposed in the Finance Bill have been revised through Government amendments, the revised rates will apply with effect from 17.03.2012. 7. However, representations have been received from trade and industry as well as field formations stating that the increase in the excise duty would be effective from 28.05.2012 and not w.e.f. 17.03.2012, as clarified in the said letter. 8. In view of the conflicting views on the issue, the matter was examined in consultation with the Ministry of Law and Justice. Ministry of Law Justice has opined that under section 3 of the Provisional Collection of Taxes Act, 1931 (PCT Act) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is concerned, the amended provisions will have effect only from the date of assent of President i.e. from 28.05.2012. 9. The above opinion of the Ministry of Law Justice has been accepted by the Government. It is, thus, clarified that the tariff rate of duty on cigarettes levied vide amendments in the Finance Act, 2012 shall be applicable from the date of enactment of the said Finance Act i.e. 28.05.2012 and not from 17.03.2012. 10. Trade Notice/Public Notice may be issued to the field formations and taxpayers. 11. Difficulties faced, if any, in implementation of this Circular may be brought to the notice of the Board. 3. The learned counsel for the appellant states that in view of the above mentioned circular of the Board, th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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