3
rd
March, 2003.
Notification No. 20/2003 - Customs (N.T.)
In exercise of the powers conferred by sub-section (2) of section 75 of the Customs Act, 1962 (52 of 1962) and section 37 of
the Central Excise Act, 1944 (1 of 1944), the Central Government hereby makes the following rules further to amend the
Customs and Central Excise Duties Drawback Rules, 1995, namely:-
1.
Short title and commencement - (1) These rules may be called the Customs and Central Excise Duties Drawback
(Amendment) (No.2) Rules, 2003.
2.They shall come into force on 1
st
April, 2003.
3.In the Customs and Central Excise Duties Drawback Rules, 1995 (hereinafter referred to as the said rules), in rule 6,-
(1)in sub-rule 1,-
(i)for clause (a), the following clause shall be substituted, namely:-
"(a) Where no amount or rate of drawback has been determined in respect of any goods, any manufacturer exporter or
exporter of such goods may, within sixty days from the date relevant for the applicability of the amount or rate of drawback in
terms of sub-rule (3) of rule (5), apply in writing to the Commissioner of Central Excise or the Commissioner of Customs
and Central Excise, having jurisdiction over the manufacturing unit, of the manufacturer exporter or, of the supporting
manufacturer, as the case may be, for determination of the amount or rate of drawback thereof stating all the relevant facts
including the proportion in which the materials or components are used in the production or manufacture of goods and the
duties paid on such materials or components:
Provided that such Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may
be, may, if he is satisfied that the manufacturer exporter or exporter was prevented by sufficient cause from filing the
application within the aforesaid time allow such manufacturer exporter or exporter to file such application within a further a
period of thirty day";
(ii)
In clause (b), for the words "Central Government", the words "Commissioner of Central Excise or the Commissioner of
Customs and Central Excise, as the case may be", shall be substituted;
(2)in sub-rule (2), -
(i)
in clause (a), for the words "Central Government", the words "Commissioner of Central Excise or the Commissioner of
Customs and Central Excise, as the case may be", shall be substituted;
(ii)for clause (b), the following clause shall be substituted, namely:-
"(b) The Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, may,
after considering the application, allow provisionally payment of an amount not exceeding the amount claimed by the
manufacturer exporter or exporter in respect of such export:
Provided that the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may
be, may, for the purpose of allowing provisional payment of drawback in respect of such export, require the manufacturer
exporter or exporter to enter into a general bond for such amount, and subject to such conditions, as he may direct; or to
enter into a bond for an amount not exceeding the full amount claimed by such manufacturer exporter or exporter as
drawback in respect of a particular consignment and binding himself,-
(i)
to refund the amount so allowed provisionally, if for any reason, it is found the duty drawback was not admissible; or
(ii)
to refund the excess, if any, paid to such manufacturer exporter or exporter provisionally if it is found that a lower amount
was payable as duty drawback:
Provided further that when the amount or rate of drawback payable on such goods is finally determined, the amount
provisionally paid to such manufacturer exporter or exporter shall be adjusted against the drawback finally payable and if the
amount so adjusted is in excess or falls short of the drawback finally payable, such manufacturer exporter or exporter shall
repay to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, the
excess or be entitled to the deficiency, as the case may be";
(iii)
in clause (c), for the words "Commissioner of Customs", the words "Commissioner of Central Excise or the
Commissioner of Customs and Central Excise, as the case may be" shall be substituted;
(3)for sub-rule (3), the following sub-rule shall be substituted, namely:-
"(3) Where the Central Government considers it necessary so to do, it may-
(a)
revoke the rate of drawback or amount of drawback, determined under clause (b) of sub-rule (1) by the Commissioner of
Central Excise or the Commissioner of Customs and Central Excise, as the case may be; or
(b)
direct the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, to
withdraw the rate of drawback or amount of drawback determined."
4.In rule 7 of the said rules,-
(i)for sub-rule (1), the following rule shall be substituted, namely:-
"(1) Where, in respect of any goods, the manufacturer exporter or exporter finds that the amount or rate of drawback
determined under rule 3 or, as the case may be, revised under rule 4, for the class of goods is less than four-fifth of the
duties paid on the materials or components used in the production or manufacture of the said goods, he may within sixty
days from the date relevant for the applicability of the amount or rate of drawback in terms of sub-rule (3) of rule (5), make
an application in writing to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise having
jurisdiction over the manufacturing unit, of the manufacturer exporter or, of the supporting manufacturer, as the case may be,
for determination of the amount or rate of drawback thereof stating all relevant facts including the proportion in which the
materials or components are used in the production or manufacture of goods and the duties paid on such materials or
components:
Provided that the Commissioner of Central Excise or the Commissioner of Customs and Central Excise may, if he is
satisfied that the manufacturer exporter or exporter was prevented by sufficient cause from making the application within the
aforesaid time, allow such manufacturer exporter or exporter to make such application within a further period of thirty days.";
(2) in sub-rule (2), for the words "Central Government" the words "Commissioner of Central Excise or the Commissioner of
Customs and Central Excise, as the case may be", shall be substituted;
(3) for sub-rule (3), the following sub-rule shall be substituted, namely:-
"(3) Where an exporter desires that he may be granted drawback provisionally, he may, while making an application
under sub-rule (1), apply to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise,
as the case may be, in writing in this behalf in the manner as has been provided in clause (a) of sub-rule (2) of rule 6 for
the applications made under that rule and the grant of provisional drawback shall be considered in the manner and
subject to the conditions specified in clauses (b) and (c) of sub-rule (2), and sub-rule (3) of rule 6, subject to the condition
that bond required to be executed by the claimant shall only be for the difference between amount or rate of drawback
determined under rule 3 or, as the case may be, revised under rule 4 by the Central Government and the provisional
drawback authorised by the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as
the case may be, under this rule.
"(4) Where the Central Government considers it necessary so to do, it may-
(a)
revoke the rate of drawback or amount of drawback, determined under sub-rule (2) by the Commissioner of Central
Excise or the Commissioner of Customs and Central Excise, as the case may be, or (b) direct the Commissioner of
Central Excise or the Commissioner of Customs and Central Excise, as the case may be, to withdraw the rate of
drawback or amount of drawback determined."
5.
In 9 of the said rules, in clause (d), for the words " the Central Government to be relevant or useful", the words,
"Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, to be relevant
or useful", shall be substituted.
6.
In rule 13 of the said rules, in sub-rule (2), in clause (iv), for the words "Central Government", the words "Commissioner of
Central Excise or the Commissioner of Customs and Central Excise, as the case may be" shall be substituted.
7.In rule 15 of the said rules, in sub-rule (1),-
(i)
for the words 'Central Government', the words 'Central Government or Commissioner of Central Excise or the
Commissioner of Customs and Central Excise, as the case may be, shall be substituted;
(ii)
in the second proviso, in clause (a), for the words, "Assistant commissioner of Customs" the words, "Assistant
Commissioner of Customs and Central Excise or Assistant Commissioner of Central Excise, as the case may be," shall
be substituted;
(iii)
in the second proviso, in clause (b), for the words, "Commissioner of Customs", the words, "Commissioner of Customs
and Central Excise or Commissioner of Central Excise, as the case may be," shall be substituted.
S.S. Renjhen
Joint Secretary to the Government of India
F.No.609/18/2003-DBK.
Note: The Customs and Central Excise Duties Drawback Rules, 1995, were notified vide Customs notification No.37/95-Cus.
(NT) dated 26
th
May, 1995 which was published in the Gazette of India (Extraordinary), vide GSR No.441(E) dated the 26
th
May, 1995 and was last amended by Customs notification No. 19/2003-Cus.(NT) dated 3
rd
March, 2003, published in the
Gazette of India (Extraordinary), vide GSR No.185(E) dated the 3
rd
March, 2003.
