Rescission of exemption notification ends prior central excise exemption while preserving actions taken before rescission.
Notification No. 13/2016 dated 1 March 2016 rescinds Notification No. 62/91-Central Excises dated 25 July 1991 by exercise of the executive rescission power in the public interest, terminating the earlier exemption for future effect while preserving things done or omitted to be done before the rescission.

Interest under section 75: higher rate for tax collected but unpaid, lower rate for other delayed payments.
Prescribes rates of simple interest for delayed payment of service tax under section 75 of the Finance Act, 1994, superseding the 2014 notification. It distinguishes between amounts collected as service tax but not paid by the due date and other delayed payments, fixing a higher simple interest rate for the collected-but-unpaid situation and a lower rate for other delays. The notification becomes effective upon assent to the Finance Bill, 2016, and applies prospectively except as to past actions.

Service tax exemption extended to bio-incubators recognized by BIRAC, broadening eligible incubators under existing notification.
Amends Notification No.32/2012-Service Tax to include bio-incubators recognized by the Biotechnology Industry Research Assistance Council under the Department of Biotechnology within the scope of the service tax exemption by inserting references to "bio-incubator" in the opening paragraph, conditions 1 and 2, Format-I (heading and item (a)) and Format-II (heading and serial 4); the amendment shall come into force on the 1st of April, 2016.

Amendment to central excise notification updates tariff entries and duty rates, expanding exemptions and concessional duties.
Amendment to notification No. 12/2012 revises the Central Excise Table and Lists by substituting, inserting and omitting serial entries and tariff descriptions to effect budgetary changes: it prescribes concessional rates for micronutrients, nil duty for certain fertilizer mixtures supplied by registered co operative societies and for ready mix concrete manufactured at construction sites, adjusts duty percentages for specified precious metal and other goods, and adds industry specific entries for lithium ion batteries, mobile handset components, ship repair inputs, rotor blade inputs and related inputs listed in a new List 9A.

Retail Sale Price based assessment revised to change abatement rates for specified excisable goods under Central Excise rules.
The notification amends the principal abatement schedule under the Central Excise Act by substituting entries for tariff headings 3401 and 3402 with specified abatement figures, substituting the abatement entry at another serial number, inserting new serial entries for tariff heading 7607 and for wrist wearable devices under heading 8517 62 with their respective abatements, and replacing the description "Parts, components and assemblies" with "Parts, components, accessories and assemblies" for the indicated serial entries.

Customs tariff amendments expand and refine import exemptions for manufacturing, petroleum operations, and specified industrial inputs.
Further amendment to Notification No. 12/2012-Customs substitutes and inserts multiple Table entries specifying tariff headings, descriptions and concessional basic customs duty rates, omits certain serials, and adjusts column entries; it also revises the proviso and Annexure by omitting clauses, inserting new conditions (including textile manufacturer/importer certification and petroleum/coal bed methane importer conditions), and adds a new List (List 34) enumerating petroleum and CBM related equipment eligible under specified exemptions.

Exemption of additional duty on imported media with recorded IT software allowed to extent of service tax leviable software value.
Exemption permits relief from additional duty on imported media with recorded Information Technology Software to the extent equal to the duty attributable to the value of the recorded software leviable to service tax; importers must submit the prescribed Annexure I declaration specifying the software value, and the person liable for service tax must be registered or undertake to pay the service tax as required.

Tariff value amendment increases prescribed tariff values for non-knitted apparel under the Central Excise notification.
Notification No. 11/2016 amends Notification No. 20/2001-Central Excise (N.T.) by substituting the figures in the opening paragraph to increase the prescribed tariff values for articles of apparel and clothing accessories not knitted or crocheted, issued under powers conferred by sub-section (2) of section 3 of the Central Excise Act, 1944.

Electronic filing of appeals to Commissioner (Appeals) mandated; verification, filing procedures and system security specified.
The rules substitute Rule 45 to require appeals to the Commissioner (Appeals) to be made in Form No.35, furnished electronically where applicable-under digital signature or by electronic verification code-or in paper where allowed. The form and any accompanying documents must be verified by the person authorised to verify the return. The Principal Director General/Director General of Income-tax (Systems) is directed to specify electronic filing procedures, data standards and electronic verification code generation, and to implement security, archival and retrieval policies for electronically furnished forms and documents.

Exemption of central excise on media with recorded IT software allowed when manufacturer declares software value and service tax registration.
Exempts central excise duty on media with recorded Information Technology Software under Chapter 85 to the extent equal to the value of the software portion leviable to service tax; manufacturers must furnish the prescribed Annexure I declaration of the software value to the jurisdictional Commissioner and the person liable for service tax must be registered and undertake to pay service tax on that declared value.

Exemption for IT software services on retail-priced media subject to duty-paid and invoice declaration conditions apply.
Exempts service in relation to Information Technology Software recorded on media bearing the retail sale price from service tax where the package value has been determined for excise/customs valuation, appropriate excise duties or customs duties have been paid by the domestic manufacturer or importer respectively, and the service provider declares on the invoice that no amount beyond the declared retail sale price has been recovered from the customer.

Point of Taxation rules clarify new levy applicability, making the new service tax levy payable except where specifically excluded.
Amendments to the Point of Taxation Rules, 2011 add a reference to sub section (2) of section 67A to extend the rules' scope to the Finance Act, 2016 and insert two explanations in rule 5: that the rule applies mutatis mutandis to a new levy on services, and that the new levy or tax is payable in all cases other than those specifically excluded.

Packing machine capacity determination amended to prescribe monthly pouch capacities and expedited re-determination and payment timelines.
The amendment substitutes rule 5 to prescribe monthly deemed pouch production per operating packing machine based on retail price bands and machine maximum packing speeds, treats each track/line of a multi-track machine as a separate machine for capacity calculation, mandates re-determination of annual capacity by the Deputy/Assistant Commissioner within three working days of commencement, fixes the monthly duty payment deadline for March 2016, and revises FORM-2 to set out duty break-up and columns for CENVAT credit and cash payment.

Central excise exemption amendment narrows exempted goods, omitting a prior entry and excluding foil containers, parts and cookers.
Amendment revises the exemption schedule of an existing central excise notification by omitting one serial entry from the tariff table and substituting the entry for another serial so that the exempted description reads: "All goods other than disposable aluminium foil containers, parts and pressure cookers," thereby narrowing the scope of the exemption as a budgetary modification under the enabling power of the Central Excise Act.

Brand labelled goods with retail sale price above prescribed threshold lose miscellaneous exemption under amended central excise notification.
Inserts a new exemption entry applying to goods classifiable in Chapters 61, 62 and 63 (excluding laminated jute bags) limited to goods bearing or sold under a brand name and meeting a specified retail sale price threshold, thereby amending the Table of exemptions in Notification No.1/2011-Central Excise.

Service tax exemption expanded to include specified educational, skill training, public authority and time limited infrastructure works.
Amendment modifies the service tax exemption schedule by substituting and inserting entries that redefine exemptions for legal services, educational programmes at designated management institutes, skill development assessment and training services, and specified construction and infrastructure works (subject to prior-contract and stamp-duty conditions with a sunset provision). It also adds exemptions for services provided by several public regulatory and social-security bodies, adjusts monetary eligibility thresholds, and alters transport-related exemption items, with specified effective dates.

Duty apportionment ratios for pan masala updated to specify allocation across excise, additional excise, and calamity duty.
Substitutes item (iv) of FORM 2 in the Pan Masala Packing Machines Rules, 2008 to prescribe a detailed duty apportionment framework requiring separate allocation ratios and reporting of amounts for Central Excise Duty, Additional Duty of Excise, National Calamity Contingent Duty, Education Cess and Secondary and Higher Education Cess for pan masala and pan masala containing tobacco.

Interest on provisional excise assessments clarified: delayed payments attract interest from the day after the due date until paid.
The amendments revise commencement dates and clarify that an assessee is liable to pay interest on amounts under provisional assessment not paid by the due date, with interest running from the day after the due date until actual payment; an illustrative example demonstrates interest calculation for staggered payments and final assessment. Eligibility thresholds for small manufacturer concessions under rule 8 are redefined for specified jewellery and other manufacturers. Terminology is changed to "Annual Return," provisions extended to export-oriented units, revised-return windows are prescribed and treated as the "relevant date" for recovery, and certain attestation and procedural provisions are omitted or updated.

Service tax exemption conditions amended to revise taxable portions and CENVAT credit denial rules for specified services.
The notification amends the TABLE to revise taxable portions and exemption conditions for specified services, including separate entries for transport of goods by rail and in containers by persons other than Indian Railways, differentiated goods transport agency services including used household goods, tour operator services split by accommodation-only and other tours with invoicing conditions, construction-for-sale exemptions conditioned on non-availability of CENVAT credit and inclusion of land value, insertion of a foreman of chit fund entry, and an Explanation treating amount charged as inclusive of fair market value of goods and services supplied by the recipient.

Exemption for first clearances of specified jewellery limited by aggregate caps and restricted input and capital goods credit usage.
The amendment adds an exemption from whole excise duty for first clearances of certain jewellery under chapter 7113, excluding most silver jewellery but including specified studded silver, subject to an aggregate annual value cap and a transitional lower cap for March. It bars manufacturers availing the exemption from claiming input duty credit or capital goods credit for affected clearances, excludes inputs used for goods bearing another person's brand where ineligible, and adjusts aggregate-clearance and branded-goods limitations, while treating clearances for home consumption to include exports to Bhutan.