Change in excise rates in budget 2013 and new rate list of excise

In budget 2013, Finance Minister proposed some changes in excise duty structure. Basic excise duty remains same at 12% whereas some product...

In budget 2013, Finance Minister proposed some changes in excise duty structure. Basic excise duty remains same at 12% whereas some products will attracts higher excise duty and some products get cheaper with lower excise duty. So these are the changes in excise duty structure which is effective from 1 March 2013.

Tariff Heading
Product
Old Rate
New Rate
72
Stainless steel pattis or pattas – Compounded Levy Scheme
Rs. 30,000 per cold rolling machine, per month
Rs. 40,000 per cold rolling machine, per month
85
Mobile handsets including cellular phones having retail sale price more than Rs. 2000/-
1.00%
6.00%
85
Mobile handsets including cellular phones having retail sale price upto Rs. 2000/-
1.00%
1.00%
39
Urea formaldehyde resins or binders captively consumed within the factory of production, in the manufacture of particle board in respect of which exemption is claimed under notification No. 49/2003-C.E. and 50/2003-C.E. both dated 10-6-2003
Exempt
Exempt
61, 62 and 63 (except 6309 00 00 and 6310)
All goods of cotton, not containing any other textile material
Such goods bearing a brand name or sold under a brand name were not eligible for exemption.
Exemption has been extended to such branded goods.
61, 62 and 63 (except 6305, 6309 00 00 and 6310)
All goods – Textile and Textile Articles
Such goods bearing a brand name or sold under a brand name were not eligible for exemption.
Exemption has been extended to such branded goods.
11
Tapioca starch manufactured and consumed captively in the manufacture of tapioca sago (sabudana)
6.00%
NIL
1517 90 20
Peanut butter
Nil
Nil
19
Tapioca sago (Sabudana)
Liable to duty
NIL
24
Cigarettes
See Note 1
See Note 1
24
Cigar, Cheroots and Cigarillos
See Note 2
See Note 2
25 or 68
Marble slabs and tiles
Rs. 30 per square meter
Rs. 60 per square meter.
25
Sulphur recovered as by product in refining of crude oil (sub-heading 2503 00 10) used for the manufacture of fertilisers ("Fertilizers" include bentonite sulphur)
Exempt
Exempt
30
Branded Ayurvedic medicaments and medicaments of Unani, Siddha, Homeopathy or Bio-chemic system
Not under MRP-based duty
Brought under MRP-based duty with abatement of 35%
33
Henna powder or paste, not mixed with any other ingredient
Liable to duty
Exempted
57
All handmade carpets and carpets & other textile floor coverings of coir and jute, whether or not handmade
Liable to duty
Exempted
71
Silver produced or manufactured during the process of zinc or lead smelting starting from the stage of zinc or lead ore or concentrate
Nil
4.00%
74
Trimmed or untrimmed sheets or circles of copper, intended for use in the manufacture of handicrafts or utensils
No change
No change
7615 19 10
Pressure cookers
No change
No change
87
Specified parts of hybrid and electric vehicles
6.00%
6.00%
8706 00 42
Chassis of diesel motor vehicles for the transport of goods
14.00%
13.00%
8703
Sports Utility Vehicles i.e., SUVs (including utility vehicles) with engine capacity >1500 cc
27.00%
30.00%
8901, 8904, 8905, 8906 90 00
Ships, tugs and pusher craft, dredgers and other vessels
Liable to duty
NIL
Note 1 – Cigarettes : Basic excise duty on cigarettes and other products of tariff heading 2402 is being increased [Clause 92 of the Finance Bill, 2013 read with the Sixth Schedule] 
Finance Minister also proposed some legistative canges in contrast of excise duty. These changes are as under.
Sec./ Rule
Change
3
Cenvat Credit Rules, 2004 : It is provided that If the manufacturer of goods or the provider of output service fails to pay the amount payable under sub-rules (5), (5A), and (5B) of Rule 3 (payment on removal of inputs/capital goods as such or after use and write off of inputs/capital goods), it shall be recovered, in the manner as provided in rule 14, for recovery of CENVAT credit wrongly taken.
7
Central Excise Rules, 2002 : Rule 7(5) is amended to provide that where the assessee is entitled to a refund consequent to an order of final assessment under sub-rule (3), then, subject to sub-rule (6), there shall be paid an interest on such refund as provided under section 11BB of the Act. The period for which interest shall be paid has been removed from Rule 7(5) and the period for payment of interest will be same as per section 11BB.
23A
Advance rulings – Expansion : "Activity" now includes any new business of production or manufacture by the existing producers or manufacturers. This will enable such producers or manufacturers to seek advance ruling when starting a new line of business. [W.e.f. Date of enactment of finance bill]
23(C) (e)
Advance rulings – Input service credit : Presently, advance ruling can be sought, inter- alia, on the issue of admissibility of credit of excise duty paid or deemed to have been paid on the goods used in/ in relation to the manufacturer of excisable goods. This section is being amended so as to extend the advance ruling provisions also to the admissibility of the credit of service tax paid on or deemed to have been paid on input services used in the manufacture of excisable goods.
[W.e.f. Date of enactment of finance bill]
23A
"Resident public limited companies" will be eligible for seeking advance ruling on central excise, in view of Notification No. 4/2013-CE(NT)[W.e.f. 1-3-2013]
9
Prosecution for 7 years and fine will be applicable only to offences involving duty of Rs. 50 lakhs or more. The present limit is Rs. 30 lakhs.[W.e.f. Date of enactment of finance bill]
9A
The offences relating to excisable goods where the duty leviable thereon exceeds Rs. 50 lakh and relating to –
   •  evading the payment of any duty payable under this Act; or
   •  contravention of any of the provisions of this Act or the rules made thereunder in relation to credit of any duty allowed to be utilised towards payment of excise duty on final products,
shall be cognizable and non-bailable. [W.e.f. Date of enactment of finance bill]
11
The following modes of recovery of duty will be available —
   •  deducting or requiring any other Central Excise Officer or a proper officer referred to in section 142 of the Customs Act, 1962 to deduct the amount so payable from any money owing to the person from whom such sums may be recoverable or due which may be in his hands or under his disposal or control or may be in the hands or under disposal or control of such other officer ;
   •  garnishee proceedings i.e. recovering from assessee's debtor/bank, etc. : requiring any other person from whom money is due to such person, or may become due to such person, or who holds or may subsequently hold money for or on account of such person, to pay to the credit of the Central Government either forthwith upon the money becoming due or being held, or at or within the time specified in the notice, not being before the money becomes due or is held, so much of the money as is sufficient to pay the amount due from such person or the whole of the money when it is equal to or less than that amount.
[W.e.f. Date of enactment of finance bill]
11A
This section is being amended to insert sub-section (7A) providing that service of a statement containing details of duty not paid, short levied or erroneously refunded shall be deemed to be a service of notice under sub-section (1) or (3) or (4) or (5) of this section for a period subsequent to period involved in original notice.
[W.e.f. Date of enactment of finance bill]
11DDA
Notice served under any sub-section of section 11A will attract this section.
[W.e.f. Date of enactment of finance bill]
20
Section 20 will apply only to non-cognizable offences.
[W.e.f. Date of enactment of finance bill]
21
It is being amended so as to make the provisions regarding release of arrested person on bail or personal bond applicable only to offence which is non-cognizable.
[W.e.f. Date of enactment of finance bill]
37C
It is being amended to specify additional modes of delivery of specified documents i.e. by speed post with proof of delivery or through courier approved by the Central Board of Excise & Customs.
[W.e.f. Date of enactment of finance bill]
35C
It is being amended to provide for a maximum ceiling of 365 days up to which the Tribunal can grant stay of recoveries. By inserting a proviso in the above-mentioned sections, it is being stipulated that after 365 days from the stay order, this stay shall stand vacated even if the disposal of the case is pending for no fault of the assessee. By virtue of stipulation under section 86(7) of the Finance Act, 1994, the provisions of the Central Excise Act would be applicable for dispute in Service Tax matters.
Circular No. 967/1/2013-CX., dated 1-1-2013 and judgment of Bombay High Court in Larsen and Tourbro Ltd. v. Union of India [2013] 30 taxmann.com 363 (Bom.) remain unaffected, because this amendment applies only after stay has been granted and 1 year has elapsed thereafter. There is no change in position where stay application is pending !
[W.e.f. Date of enactment of finance bill]
35D
It is being amended to enhance the monetary limit of the Single Bench of the Tribunal to hear and dispose of appeals from Rs. 10 lakh to Rs. 50 lakh.
[W.e.f. Date of enactment of finance bill]
Keywords-excise duty rate list,excise duty chart,excise duty changes in budget,new excise duty rates after budget,new excise duty rates from 01-03-2013,2013 excise duty rate list,rate chart excise duty

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Taxalertindia: Change in excise rates in budget 2013 and new rate list of excise
Change in excise rates in budget 2013 and new rate list of excise
Taxalertindia
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