TMI BlogEXPLANATORY NOTES (CENTRAL EXCISE)-Budget 2007X X X X Extracts X X X X X X X X Extracts X X X X ..... 2004 or Secondary and Higher Education Cess. [(Notification No. 10/2007-Central Excise (N.T) refers] 2. Small Scale Industries (SSI) Exemption . 2.1 The full exemption limit for Small Scale Industries is being increased from Rs. 1 Crore to Rs. 1.5 Crore. This change will come into effect on 1st April, 2007. (Notification No. 8/2003-CE has been amended vide Notification No. 8/2007-Central Excise refers) Chapters 1 to 18 No change. Chapter 19 19.1 Excise duty has been fully exempted on biscuits of per kilogram retail sale price equivalent of Rs.50 per kg or less. (S.No. 18A of the Notification No. 3/2006-Central Excise as inserted vide Notification No. 3/2007- Central Excise refers). 19.2 Nil rate of excise duty for 'preparations for infant use, put up in unit containers', available prior to introduction of 8-digit tariff, has been restored. (S.No. 5A of the Notification No. 3/2005-Central Excise as inserted vide Notification No. 7/2007-Central Excise refers). Chapter 20 No change. Chapter 21 21.1 Total excise duty (Cenvat + NCCD + Health Cess) on pan masala (not containing tobacco) has been reduced from 66% to 45%. (S.No. 29A of the Notification No. 3 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 4-Central Excise for certain tobacco products for specified units located in the North East Region, would not be available in respect of goods cleared on and after the 1st March, 2007. However, in respect of goods cleared by such units on or before 28th of February, 2007 on which the exemption under the said notification has already been availed of, the conditions of the notification shall continue to apply. (Notification No 8/2004-Central Excise as amended by notification F.No.11/2007-Central Excise refers) Chapter 25 25.1 Specific rates of excise duty on cement falling under sub-heading 2523 29 have been revised as under: S.No. From To 1 o Cement manufactured by mini-cement plant cleared in packaged form (a) of retail sale price not exceeding Rs.190 per 50 Kg bag or per metric tonne retail sale price equivalent not exceeding Rs.3800 (b) of retail sale price exceeding Rs.190 per 50 Kg bag or per metric tonne retail sale price equivalent exceeding Rs.3800 Rs. 250 per tonne Rs. 250 per tonne Rs. 220 per tonne Rs. 370 per tonne 2 Cement, manufactured by other than mini-cement plant, cleare ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tral Excise refers). Chapter 30. 30.1 Excise duty on wadding, gauze has been reduced from 16% to 8%. (S.No. 62A of the Notification No. 4/2006-Central Excise as inserted vide Notification No. 4/2007- Central Excise refers). 30.2 Excise duty exemption on Nicotine polacrilex gum has been withdrawn. It will now attract excise duty @ 8%. (S.No. 61 of the Notification No. 4/2006- Central Excise as amended vide Notification No. 4 /2007- Central Excise refers). Chapters 31 to 37. No change. Chapter 38. 38.1 Excise duty exemption on Chemical reagents manufactured by Hindustan Antibiotics Ltd. has been withdrawn for use in the manufacture of kits for testing narcotic drugs and psychotropic substances. They will now attract excise duty @ 16%. (S.No. 75 of the Notification No. 4/2006-Central Excise omitted vide Notification No. 4/2007- Central Excise refers). Chapter 39. 39.1 Excise duty on nylon chips has been reduced from 16% to 12%. (S.No. 80B of the Notification No. 4/2006-Central Excise as inserted vide Notification No. 4/2007-Central Excise refers). Chapters 40 to 43 No change. Chapter 44 44.1 Excise duty on plywood, veneered panels and similar la ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the Notification No. 5/2006-Central Excise as omitted vide Notification No. 5/2007-Central Excise refers). Chapter 71 71.1 Excise duty exemption on dust and powder of synthetic precious or semi-precious stones has been withdrawn. They will now attract excise duty @ 8%. (S.Nos. 22 and 22Aof Notification No. 5/2006-Central Excise as amended/inserted vide Notification No 5/2007-Central Excise refers). Chapters 72 to 83 76.1 Optional compounded levy on aluminium circles, produced from sheets manufactured on cold rolling machines has been increased from Rs.7,500 and Rs. 10,000 per machine per month, depending upon the size of the roller of cold rolling machine, to a uniform rate of Rs.12,000 per machine per month. (Notification No. 17/2007-Central Excise, dated the 1st March, 2007 supersedes Notification No.34/2001-Central Excise, dated the 28th June, 2001). Chapter 84 and 85 84.1 Excise duty exemption on specified plantation machinery, presently valid upto 30.04.07 is being extended by two years i.e. upto 30.04.09. (Proviso in the preamble to the Notification No.6/2006-Central Excise as amended by notification No. 6/2007- Central Excise refers.) 84.2 Excise duty h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d 54C of Notification No. 6/2006- Central Excise as inserted vide Notification No. 6/2007-Central Excise refers). Chapters 90 to 96 96.1 Excise duty @8% has been imposed on brooms, brushes and other items (except toothbrushes) falling under heading 9603 of the Central Excise Tariff. (Notification No. 6/2007-Central Excise, dated the 1st March, 2007 amends S.No.75 of Notification No.6/2006-Central Excise and S.No.35 of Notification No.10/2006-Central Excise omitted vide Notification No.10/2007- Central Excise refer). MISCELLANEOUS M1: Full excise duty exemption has been extended to goods manufactured and cleared by M/s Brahmaputra Cracker and Polymer Limited, Dibrugarh, Assam for a period not exceeding ten years from the date of commencement of commercial production. (Notification No. 14/2007-Central Excise refers). M2: Notification 64/95-Central Excise has been amended to provide excise duty exemption to components, raw materials, tools, lubricants and propellants, scientific and technical instruments, apparatus for systems and sub-systems of launch vehicles and satellite projects meant for Indian Space Research Organization. (Notification No. 15/2007-Central Excise r ..... X X X X Extracts X X X X X X X X Extracts X X X X
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