The Central Government’s enactment provided with the name and title as the Central Excise Tariff Act, 1985 (Act 5 of 1986) for the object and purpose that to make provisions as to tariff for Central Duties of Excise. The present enactment was passed out by the India Parliament in 36th year of republic of India and same has received the assent on 19th day January, 1986 from the honourable President of India. The whole territories of India were made subject to this Act as it is shown in extension clause. The 28th day of February, 1986 was the day on which the present enactment was brought in to force by the notification of the Central Government published in the Official Gazette.
The provisions of the Act are very few, but more effective in so far as the purpose of the Act is concerned. As afore discussed, the short title, extension and also the commencement of the Act was contemplated in the first and foremost provision of the Act. In relation to the Excise duties imposable within the provisions of the Central Excise Act, 1944 (Act no. 1 of 1944), the rates are specified in the First Schedule and Second Schedule which are annexed to this present enactment. However, the Act further mentions that the duties imposable within the provisions of section 3 of the Central Excise Act, 1944, in relation to any goods, if in the opinion of the Central Government, to be increased and there should be an immediate action in this behalf, then it will be directed by the Central Government that the First Schedule and Second Schedule annexed to this enactment to be amended for substituting the rates of duties in relation to those goods, in place of what has originally provided in the said First Schedule and Second Schedule to this Act. Such directions of amendment will have to be given the Central Government by the notification to be published in the Official Gazette. However, there are conditions of such amendment, in which in case when the rate of duty was nil earlier to such amendment, as specified in the said First Schedule and the Second Schedule then 50 per cent of the ad valorem expressed in any form or method, can be taken as rate of duty by such amendment and in case of already specified rate of duty in the First Schedule and Second Schedule is given to certain extend, then by such amendment there should not increased the rate more than twice the existing rate of duty. All such notification making such directions to amend the First and Second Schedule is to be firstly taken to the Houses of Parliament for the further proceedings within given time.
Further, the provisions of section 4 of the Act are providing for the consequential amendments by virtue of this Act and its aforesaid provisions. It is made clear in the said provision that the reference to the First Schedule annexed with the Central Excise Act, 1944, whenever mentioned in that Act the same to be replaced with the Schedule annexed to the present enactment and the original First Schedule in that Act of 1944 here sought to be omitted by such substitution. And not only this, the references to that First Schedule which was annexed to that Act of 1944, in any laws were also sought to be taken effect and in place of that the reference of schedule annexed to this Act was added. And there was also sought to amend the interpretation clause of the Act of 1944 so as to insert the definition of the term ‘Manufacture’.
The Central Government can amend the First Schedule and Second Schedule annexed to this Act, similarly as stated in the earlier urgency or emergency provisions, then the section 5 of the Act provides that it can do so to its satisfaction that doing the amendments is necessary in the interest of public. Such Amendments, like in emergency case, will also to be notified in the Official Gazette. However, by doing such amendments the Central Government is not empowered to alter the rates provided in those Schedules in relations to the goods at which excise duties are imposable under the provisions of the Central Excise Act, 1944. And, similar to above, the said notification doing amendments under this provision should also be tabled before each House of Parliament, whilst in session for the given period for further procedure.
As such, the present Act is classifying various goods on which Central Excise duties are imposable and prescribing the rates at which such duties are payable.
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