TaxTMI 
TaxTMI 
DOES THE CENTRAL EXCISE ACT EMPOWER THE DEPARTMENT TO CONDUCT AUDIT? IF YES UNDER WHICH SECTION. REPEAT WHICH SECTION?
Powers of Audit
28 Dec 2011 
9 Replies 
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Departmental audit powers under central excise: statutory special-audit provisions exist, but rule-based audits face legal limits.
The Act provides for special audits for valuation and CENVAT credit and administrative audit schemes under rules, but lacks an express provision authorising departmental officers to conduct general audits; reliance on delegated rulemaking to support audit powers raises questions of validity where rules may exceed the statute's remit. (AI Summary)
The Act provides for special audits for valuation and CENVAT credit and administrative audit schemes under rules, but lacks an express provision authorising departmental officers to conduct general audits; reliance on delegated rulemaking to support audit powers raises questions of validity where rules may exceed the statute's remit. (AI Summary)