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CENTRAL EXCISE
TARIFF CHANGES
Original Notification / Section
Notification No. 83/1994 -Central Excise dt. Additions for exemption of Notification No. 7/2009-
11th April, 1994 as amended
Notification No. 84/1994 -Central Excise dt. Additions for exemption of
11th April, 1994 as amended
Changes
goods manufactured on Central Excise dt. 7th July,
job-work basis by job- 2009
worker for the item EVA
compound
goods manufactured by
the supplier and cleared to
job-worker for
manufacture on job-work
basis for the item EVA
compound
Amended vide Comments
Full exemption has also been
provided to EVA compound
manufactured by job-worker on
job-work basis and used in
manufacture of specified goods
under Chapter Headings 6401 to
6405 i.e. footwear. In addition to
use of the said goods in
manufacture of the specified
goods, the condition to be fulfilled
is that the supplier undertakes to
pay the duty on the final products
incase this actual user condition is
not complied.
Notification No. 7/2009- In line with the above change,
Central Excise dt. 7th July, similar exemption has been
2009 granted to EVA compound
manufactured by a supplier and
cleared to job-worker for
manufacture on job-work basis
subject to the actual user condition
that the specified goods on return
will be used by the supplier in
manufacture of specified goods
under Chapter Headings 6401 to
6405 i.e. footwear and in the event

Notification No. 28/2002 -Central Excise dt. Exemption of Additional
13th May, 2002 as amended Duty of Excise and
Special Additional duty of
Excise on Bio-diesel
Notification No. 8/2003-Central Excise dt. Restriction of SSI
st
1 March, 2003 exemption w.r.t. goods
cleared under brand name
will not be applicable to
printed laminated rolls.
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of failure to do so, the supplier
undertakes to pay the duty on such
goods cleared to job-worker.
Notification No. 8/2009- The exemption of Additional Duty
Central Excise dt. 7th July, of Excise and Special Additional
2009 and Notification No. duty of Excise available to High
21/2009-Central Excise dt. Speed Diesel Oil is extended to
7th July, 2009 Bio-diesel, which is a combination
of High speed diesel oil blended
with alkyl esters of long chain fatty
acids obtained from vegetable oils
that is a blend, consisting 80% or
more of high speed diesel oil and
upto 20% bio-diesel. To avail this
exemption, the appropriate duties
of excise read with relevant
exemption Notifications must have
been paid on both the high speed
diesel oil and bio-diesel.
Notification No. 9/2009- The SSI exemption is not available
Central Excise dt. 7th July, in case the goods cleared bear the
2009 brand name / trade name whether
registered / not registered.
However there are certain
exclusions to which this clause
does not apply which are in the
nature of packaging material viz
PP caps, crown corks, metal
labels, plastic bags. Printed
laminated rolls have also been

Notification No. 29/2004-Central Excise,
dated the 9th July, 2004 / Notification No.
30/2004-Central Excise, dated the 9th July,
2004 / Notification No.
3/2006-Central Excise, dated the 1st
March, 2006 / Notification No.
4/2006-Central Excise, dated the 1st
March, 2006 / Notification No.
5/2006-Central Excise, dated the 1st
March, 2006 / Notification No.
6/2006-Central Excise, dated the 1st
March, 2006 / Notification No.
28/2002-Central Excise, dated the 13th
May, 2002 / Notification No.
8/2003-Central Excise, dated the 1st March,
2003 / Notification No.
58/2008-Central Excise, dated the 7th
December, 2008 / Notification No.
13/2007 -Central Excise, dated the 1st
March, 2007 / Notification No.
10/2006-Central Excise, dated the 1st
Revision in excise duty Notification No. 11/2009-
rates of certain items as Central Excise dt. 7th July,
per Annexure A enclosed 2009 / Notification No.
herewith 12/2009-Central Excise dt.
7th July, 2009 / Notification
No. 13/2009-Central Excise
dt. 7th July, 2009 /
Notification No. 14/2009-
Central Excise dt. 7th July,
2009 / Notification No.
15/2009-Central Excise dt.
7th July, 2009 / Notification
No. 16/2009-Central Excise
dt. 7th July, 2009 /
Notification No. 17/2009-
Central Excise dt. 7th July,
2009 / Notification No.
18/2009-Central Excise dt.
7th July, 2009 / Notification
No. 19/2009-Central Excise
dt. 7th July, 2009 /
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added to this exclusion.
The government has decided to
stick by its own commitment of
introducing the GST by 1st April,
2010 and therefore to bring
convergence between the rates of
excise and service tax, revised the
rates of certain specified items
through exemption Notifications. In
majority of the items, the rates
have been restored to 8%
wherever they had reduced to 4%
through the Notification issued in
December, 2008 and February,
2009.

March, 2006 / Notification No.
2/2008-Central Excise, dated the 1st March,
2008
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Notification No. 20/2009-
Central Excise dt. 7th July,
2009 / Notification No.
21/2009-Central Excise dt.
7th July, 2009
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ANNEXURE A

Tariff Heading Existing Peak Rate of Description of Goods Duty Effective rate Duty Effective rate
Excise Duty as per Exemption in (Existing) Exemption in (New)
First Schedule excess of excess of
(Existing) (New)
50040090, 8% All goods 4% 4% NA 8%
50050021,
50050022,
50060031,
50060032,
50060033 and
50060039
5105 to 5113 8% All goods 4% 4% NA 8%
5204 to 5212 8% All goods-
(i) of cotton, not NIL NIL 4% 4%
containing any other
textile material

8% (ii) others 4% 4% NA 8%
53 (except 5301, 8% All goods 4% 4% NA 8%
5303, Ramie or
China grass falling
under 53050090
5401, 54050000, 8% All goods (other than, 4% 4% NA 8%
5407 and 5408 nylon monofilament
yarn of 210 deniers
or in the multiples
thereof, with
tolerance of 6 per
cent.; or nylon fish
net fabrics)
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5404 8% All goods (other than, 4% 4% 8% 8%
nylon monofilament
yarn of 210 deniers
or in the multiples
thereof, with
tolerance of 6 per
cent.; or nylon fish
net fabrics)
54 8% All filament yarns 4% 4% 8% 8%
procured from
outside and
subjected to any
process by a
manufacturer who
does not have the
facilities in his factory
(including plant and
equipment) for the
manufacture of
filament yarns of
chapter 54.

Explanation.- For the

purpose of this
exemption,
‘manufacture of
yarns’ means
manufacture of
filaments of organic
polymers produced
by ,-
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(a) polymerization of
organic monomers,
such as, polyamides,
polyesters,
polyurethenes, or
polyvinyl derivatives;
or

(b) chemical
transformation of
natural organic
polymers (cellulose,
casein, proteins or
algae), such as,
viscose rayon,
cellulose acetate,
cupro or alginates.
5508 to 5516 8% All goods 4% 4% NA 8%
56 (except 8% All goods of cotton, NIL NIL 4% 4%
56011000) not containing any
other textile material
56075010, 8% All goods of cotton, NA 8% 4% 4%
56081110 and not containing any
56081190 other textile material
57 8% All goods - NIL NIL 4% 4%
(i) of cotton, not
containing any other
textile material

8% (ii) others 4% 4% NA 8%
58 (except 8% All goods - NIL NIL 4% 4%
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58043000, 5805 and (i) of cotton, not
5807) containing any other
textile material;
8% (ii) others 4% 4% NA 8%
59 8% All goods-
(i) of cotton, not NIL NIL 4% 4%
containing any other
textile material
8% (ii) others 4% NA 8%
60 8% All goods-
(i) of cotton, not NIL NIL 4% 4%
containing any other
textile material
8% (ii) others 4% 4% NA 8%
61, 62 and 63 8% All goods-
(except 63090000 (i) of cotton, not NIL NIL 4% 4%
and 6310) containing any other
textile material
8% (ii) others 4% 4% NA 8%

Explanation- (1) For

the removal of
doubts, it is hereby
clarified that 'goods
of cotton, not
containing any other
textile material', shall
include goods made
from fabrics of
cotton, not containing
.any other textile
material, even if they
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contain sewing
threads, cords,
labels, elastics tapes,
zip fasteners and
similar items used for
stitching, fastening,
holding or
adornment, of
materials other than
cotton
5506 or 5507 8% Synthetic filament NA 8% NIL NIL
tow or artificial
filament tow procured
from outside and No cenvat on
subjected to “tow-to- inputs to be taken
top” process, under the Cenvat
required for Credit Rules,
spinning by a 2004.
manufacturer who
does not have the
facilities in his factory
(including plant and
equipment) for
producing goods of
heading Nos. 5501
and 5502.”.
2101 14% Coffee or tea- NA NA NIL NIL
premixes
2106 14% Coffee or tea- NIL NIL NA Anamoly removed
premixes since the correct
classification for
the coffee or tea-
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premixes would
have been under
2101 and not
2106. This entry
was introduced
last year in the
exemption
Notification
27 14% + Rs.15 per Naphtha or Natural NIL NIL NIL NIL
litre Gasoline Liquid for
use in the Restriction is
manufacture of imposed and the
fertilizer, if such exemption would
fertilizer is cleared as be available if
such from the factory used in the
of production factory of
production for
manufacture of
fertilizers and if
such fertilisers are
cleared from
factory only
27 14% + Rs.15 per Naphtha or Natural NIL NIL NIL NIL
litre Gasoline Liquid for
use Restriction
in the manufacture of imposed on end
ammonia: use of ammonia
Provided that such and restricted to
ammonia is used in fertilisers only –
the however the
manufacture of same may be
fertilizers and the used within the
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fertilizer factory of
so manufactured is production or
cleared as such from outside subject to
the factory of compliance of
production Central Excise
(Removal of
Goods at
Concessional
Rate of Duty for
Manufacture of
Excisable Goods),
Rules, 2001.
271011 14% plus Rs.15 per Motor spirit
litre commonly known as
petrol,-
(i) intended for sale
without a brand Rs.6.35 per Rs.6.35 per Rs.5.35 per Rs.5.35 per litre
name; litre litre litre

14% plus Rs.15 per (ii) other than those 6% plus 6% plus Rs.5 Rs.6.5 per Rs.6.5 per litre
litre specified at (i) Rs.5 per per litre litre
Above litre
271011 14% plus Rs.15 per All goods (other than 32% 32% NA 14%
litre motor spirit
commonly known as Amendment in
petrol) First Schedule
271011 14% plus Rs.15 per High Speed diesel
litre (i) intended for sale
without a brand
name;
Rs.2.60 per Rs.2.60 per Rs.1.60 per Rs.1.60 per litre
litre litre litre
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14% plus Rs.15 per (ii) other than those 6% plus 6% plus Rs.2.75 per Rs.2.75 per litre
litre specified at (i) Rs.1.25 per Rs.1.25 per litre
above. litre litre
2710 14% plus Rs. 5 per High speed diesel oil NA 8% plus Rs. 5 NIL NIL
litre blended with per litre
alkyl esters of long
chain fatty acids
obtained from
vegetable oils,
commonly known as
bio-diesels, up to
20% by volume, that
is a blend,
consisting 80% or
more of high speed
diesel oil, on which
the appropriate
duties of excise have
been paid and, up
to 20% bio-diesel on
which the
appropriate duties of
excise have been
paid.

Explanation.-For the
purposes of this
exemption
“appropriate duties of
excise” shall mean
the duties of excise
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leviable under the
First Schedule and
Second Schedule to
the Central Excise
Tariff Act, 1985 (5 of
1986), the
additional duty of
excise leviable under
section 133 of the
Finance Act, 1999
(27 of 1999) and the
special additional
excise duty leviable
under section 147
of the Finance Act,
2002 (20 of 2002),
read with any
relevant exemption
notification for the
time being in force.
29173600 14% Pure terephthalic 4% 4% 8% 8%
acid
29173700 14% Dimethyl 4% 4% 8% 8%
terephthalate
29261000 14% Acrylonitrile 4% 4% 8% 8%
32159090 14% Ink for writing 4% 4% 8% 8%
instruments including
for markers and
highlighters
3907 14% Polyster chips 4% 4% 8% 8%
40070010 14% Heat resistant latex 4% 4% 8% 8%
rubber thread
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400821 14% Heat resistant rubber 4% 4% 8% 8%
tension tape
4301 / 4302 14% Raw, tanned or 4% 4% 8% 8%
dressed fur skins
4408 14% All goods (sheets for 4% 4% 8% 8%
veneering for
plywood, similar
laminated wood and
other wood of
thickness not
exceeding 6 mm)
4410 / 4411 14% All goods – (particle 4% 4% 8% 8%
board, oriented
strand board, fibre
board and similar
board of wood or
other ligneous
materials and fibre
board of wood or
other ligneous
materials)
4412 14% All goods – (plywood, 4% 4% 8% 8%
veneered panels and
similar laminated
wood)
44182010 14% Flush doors 4% 4% 8% 8%
5402, 5403, 5406 14% All goods other than 4% 4% 8% 8%
nylon filament yarn of
210 deniers or in the
multiples thereof with
tolerance of 6%
5501, 5502, 5503, 8% All goods 4% 4% 8% 8%
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5504, 5506, 5507
68 14% Goods in which not 4% 4% 8% 8%
less than 25% by
weight of flyash or
phosphor-gympsum
or both have been
used
68 (except 6804, 14% Goods manufactured NIL NIL NIL NIL
6805, 6811, 6812 at
and 6813) the site of Earlier this
construction for use exemption was
in construction work limited to Goods
at such site in which more
than 25% by
weight of red
mud, press mud
or blast furnace,
slag or one or
more of these
materials have
been used
69 14% Ceramic tiles 4% 4% 8% 8%
manufactured in a
factory not using
electricity for firing
the kiln
7113 14% Article of jewellery on 2% 2% NIL NIL
which brand name or
trade name is
indelibly affixed or
embossed on the
articles of jewellery
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732111 14% LPG Gas Stoves 4% 4% 8% 8%
(with burners only
without other
functions such as
grills or oven)
27101112 14% + Rs.15 per Special boiling point NA NA NA 14%
litre spirits (Other than
benzene, benzol, Amendment in
toluene and toluol) First Schedule
with nominal boiling
point range 63 – 70
degrees C.
27101113 14% + Rs.15 per Other special boiling NA NA NA 14%
litre point spirits (Other
than benzene, Amendment in
benzol, toluene and First Schedule
toluol)
84 or 90 14% The following goods, 4% 4% 8% 8%
namely:-

(i) Electronic milk fat

tester; and

(ii) Electronic solid

non-fat (SNF) tester.
85 14% MP3/MP4 or MPEG 4% 4% 8% 8%
4 player, with or
without radio or video
reception facility
852352 14% Recorded smart NIL NIL NIL NIL
cards
Condition
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inserted - No
cenvat credit to
be taken on
inputs

85235910 14% Recorded proximity NIL NIL NIL NIL

cards and tags
Condition
inserted - No
cenvat credit to
be taken on
inputs

8702, 8703 24% (ii) Motor vehicles of 20% + 20% + 20% + 20% + Rs.15,000
engine capacity Rs.15,000 Rs.15,000 per Rs.15,000 per unit
exceeding 1500 cc per unit unit per unit
Limitation w.r.t.
capacity not
exceeding 1999
cc removed and
benefit of
reduced duties
extended to
higher capacity
motor vehicles
8704 14% / 24% Motor vehicles, other 8% 8% 8% 8%
than petrol driven
dumpers Benefit of
reduced rate
extended to all
petrol driven
motor vehicles
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except dumpers
87060049 24% plus 10000 per Motor chassis for NA 24% plus 8% plus 8% plus 10000
chassis vehicles of heading 10000 per 10000 per per chassis
8704 (petrol driven) chassis chassis
fitted with engines,
whether or not with
cab
848690 or 9017 14% Parts of drawing and 4% 4% 8% 8%
mathematical
instruments, used in
the manufacture of
such drawing and
mathematical
instruments
90 or any other Patent Ductus NA NIL NIL
Chapter Arteriosus / Atrial
Septal Defect
occlusion device
9603 14% All goods 4% 4% 8% 8%
9607 14% All goods 4% 4% 8% 8%
44 14% Articles of wood, 4% 4% 8% 8%
other than articles of
densified wood and
flush doors
4820 14% All goods, other than 4% 4% 8% 8%
notebooks and
exercise books such
as folders, file
covers, manifold
business forms and
other articles of
stationary, of paper
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or paperboard
4821 14% All goods 4% 4% 8% 8%
6814 14% Articles of mica 4% 4% 8% 8%
68 (except headings 14% Solid or hollow 4% 4% 8% 8%
6804, 6805, 6811, building blocks,
6812, 6813) including aerated or
cellular light weight
concrete blocks and
slabs

• Effective rates for the goods falling under the following chapters have also been restored to 8% from existing rate of 4%.

5004, 5005, 5006 and 5007, 5105, 5106, 5107, 5108, 5109, 5110, 5111, 5112 and 5113, 5204, 5205, 5206, 5207, 5208, 5209, 5210,
5211 and 5212, 5302, 5305, 5306, 5308 (excluding 5308 10 10 and 5308 10 90), 5309, 5310 and 5311, 5401, 540490, 54050000, 5407
(excluding 54071015, 54071025, 54071035, 54071045, 54071095, 54072010, 54072020, 54072030, 54072040, 54072090, 54073010,
54073020, 54073030, 54073040, 54073090, 54074119, 54074129, 54074290, 54074300, 54074490, 54077110, 54077120, 54077200,
54077300, 54077400, 54078119, 54078129, 54078290, 54078300, 54078490, 54079110, 54079120, 54079200, 54079300 and
54079400) and 5408, 5508, 5509, 5510, 5511, 5512, 5513, 5514, 5515 and 5516, 5601 (excluding 56011000 and 56012200), 5602,
5603, 5604, 5605, 5606, 5607 (excluding 56075010), 5608 (excluding 56081110 and 56081190) and 5609, 57, 5801 (excluding
58012210 and 58013500), 5802, 5803, 5804 (excluding 58043000), 5806, 5808, 5809, 5810 and 5811, 5901, 5902 (excluding 59021010
and 59021090), 5903, 5904, 5905, 5906, 5907, 5908, 5909, 5910 and 5911, 60, 61, 62, 63 (excluding 63090000 and 6310), 9001300,
95044000

• Corresponding changes w.r.t. exemptions for the Chapters covered above and mentioned under the Notification No. 23/2003 dt. 31.03.2003
as amended have been made on account of restoration of rates to 4% or 8% as the case may be at Serial number 5, 5A, 6, 7 and 7A of the
Notification.

• For arriving the assessable value of packaged / canned software for the purpose of levy of excise duty, value determined under Section 4 of
Central Excise Act, 1944 for transfer of right to use the software for the purpose of commercial exploitation shall be excluded. This value will
however be taxable under Service Tax. The person providing the right to use shall make a declaration to this effect to the Assistant
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Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, in respect of such transfer of the right to use
for commercial exploitation

NON-TARIFF CHANGES

1. Input includes goods used in the manufacture of capital goods which are further used in the factory of the manufacturer - Explanation
to definition of Input under the Cenvat Credit Rules, 2004 has been amended so to exclude cement, angles, channels, Centrally
Twisted Deform bar (CTD) or Thermo Mechanically Treated bar (TMT) and other items used for construction of factory shed, building
or laying of foundation or making of structures for support of capital goods.

2. Manufacturers of excisable goods availing cenvat credit are required to reverse the credit availed in respect of inputs / capital goods,
incase the same are written off / provision to write off is made in the books of accounts. Subsequently if the same are used in
manufacturing, the proportionate credit can be availed by the manufacturers. This provision has now been made applicable to service
providers as well and therefore any service provider making such provision for write off will be required to reverse the proportionate
credit.

3. On account of reduction of rates in excise duties and service tax, the corresponding reversal of cenvat credit required by a
manufacturer of excisable and exempted goods or service provider providing both taxable and exempted services and not
maintaining separate books of accounts has been reduced as under:

Manufacturer 5% instead of 10% of the value of the exempted goods

Service Provider 6% instead of 8% of the value of the exempted services

4. New Rule 24A inserted in the Central Excise Rules, 2002. This rule makes it mandate for the Central Excise Officer to return the
books of accounts / documents seized by him / produced by the assessee, within 30 days of the issue of the Notice or within 30 days
of the expiry of the period for issue of said notice if the same has not relied by him in issuing the said notice. These books /
documents however can be retained under the written orders of the Commissioner of Central Excise.

5. Abatement allowed w.r.t. certain specified goods falling under certain chapters have been amended.
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Chapter Description of Goods Existing New

Heading Abatement Abatement
Rate Rate
6907 Vitrified tiles, whether polished or not 40 45
6908 Glazed tiles 40 45
7321 LPG gas stoves (with burners only, 30 35
without other functions such as, grills or
oven)
85 MP3 Player or MPEG 4 Player 30 35
96032100 Toothbrush 25 30

6. Following proposals are introduced vide the Finance Bill, 2009:

a. Section 9A of the Central Excise Act, 1944 has been amended and the Chief Commissioner’s shall allow compounding of the
offence on payment of such compounding amount and also the manner laid down by him. Further restriction of compounding
has been imposed for certain offences.
b. Special Audit u/s 14A and 14AA can now be conducted by Chartered Accountants as well
c. Advance Ruling Authority under Section 28 F of the Customs Act, 1962 will be the Advance Ruling Authority for Excise Matters
as well.
d. Sections 35G and 35H have been amended so as to empower High Courts to condone delay in the filing of appeals, applications as
well as the memorandum of cross objections where it is satisfied that there was sufficient cause for delay
e. Note 1 of Chapter 8 in the First Schedule to the Central Excise Tariff Act, 1985 has been substituted so as to exclude ‘betel nut
product known as supari’ of tariff item 2106 9030 from its purview.
f. A note has been inserted in Chapter 21 so as to provide that in relation to product of tariff item 2106 90 30 the process of adding or
mixing cardamom, copra, menthol, spices, sweetening agents or any such ingredients, other than lime, katha (catechu) or tobacco to
betel nut in any form shall amount to ‘manufacture