TaxTMI 
TaxTMI 
Chewing Tobacco, Jarda Scented Tobacco and Gutkha Packing Machines (Capacity Determination and Collection of Duty) Rules, 2026.
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....t, 1963 (54 of 1963); (c) "chewing tobacco" means chewing tobacco including filter khaini falling under tariff item 2403 99 10 of the Fourth Schedule to the Act; (d) "gutkha" means pan masala containing tobacco and falling under tariff item 2403 99 90 of the Fourth Schedule to the Act; (e) "identical goods" means goods which are same in all respects, including physical characteristics and quality as the goods being valued except for minor differences in appearance that do not affect the value of the goods; (f) "jarda scented tobacco" means jarda scented tobacco falling under tariff item 2403 99 30 of the Fourth Schedule to the Act; (g) "notified goods" means chewing tobacco, jarda scented tobacco and gutkha notified under sub-section (1) of section 3A of the Act; (h) "packing machine" includes all types of Form, Fill and Seal (FFS) Machines and Horizontal Pouch Making Machines, by whatever name called, whether vertical or horizontal, single track or multi-track and any other type of packing machine used for packing of pouches of notified goods; (i) "retail sale price" means the maximum price at which the specified goods....
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....es per minute 1001 to 1500 pouches per minute 1501 pouches per minute and above (1) (2) (3) (4) (5) (6) 1. Up to Rs. 2.00 1,12,32,000 2,24,64,000 3,36,96,000 22,464 x S 2. Exceeding Rs. 2 1,01,08,800 2,02,17,600 3,03,26,400 20,218 x S Where 'S' above denotes maximum rated speed of the pouch packaging machine for which rate of duty is to be determined. Explanation. - For the purposes of this rule, if there are multiple track or multiple line packing machines which besides packing the notified goods in pouches, perform additional processes involving moulding and giving a definite shape to such pouches with a view to distinguish the brand or to prevent the counterfeiting of the goods, etc., two such tracks or lines shall be deemed to be one individual packing machine for the purposes of calculation of the number of pouches per operating packing machine per month: Provided that in case of multiple track or multiple line packing machine which are incapable of performing such additional processes, one such track or line shall be deemed to be one individual packing machine for the purposes of calculation of the number of....
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....ion of machines, he shall intimate such discrepancy to the manufacturer and shall pass an order determining the capacity of production within a period not later than thirty days from the date of verification under rule 7, after giving the manufacturer a reasonable opportunity of being heard. (3) The manufacturer shall be liable to pay the duty, according to the capacity determined, for the period subsequent to the passing of the order under sub-rule (2) and shall also be liable to pay the differential amount of duty, if any, along with interest, for the period commencing from - (a) the date of installation of the machine, where the declaration is filed under sub-rule (1) of rule 6; or (b) the date of change in any factors relevant to production, or the date of installation, addition, or commencement of any machine, as the case may be, where the declaration is filed under sub-rule (3) of rule 6; till the date of actual payment of such differential amount. 9. Duty payable to be calculated. - (1) The duty payable for a particular month shall be calculated by application of the appropriate rate of duty notified under sub-section (3) of section 3A of the Act. ....
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....for the month immediately following the month in which such order is issued: Provided that no order rejecting the claim of abatement, either in whole or in part, shall be passed unless the manufacturer has been given a reasonable opportunity of being heard. 11. Quantification of abatement amount. - The amount of abatement shall be the determined in the following manner: Abatement amount = (excise duty liability for the machine for the month X total number of continuous days the machine was inoperative in the month) / (the total number of days in the month) 12. De-sealing and resumption of operation. - The manufacturer shall intimate the jurisdictional Deputy Commissioner of Central Excise or the Assistant Commissioner of Central Excise, as the case may be, three working days before the date from which he intends to resume operation on the sealed machine, as the case may be, which would then be de-sealed under the physical supervision of the jurisdictional Superintendent of Central Excise, as the case may be. 13. Manner of payment of duty and interest. - (1) The monthly duty payable on notified goods shall be paid by the 6th day of the same month and a monthly return ....
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....eclared by him in accordance with provisions of these rules or has manufactured goods in contravention of his declaration regarding the plan or details of the part or section of the factory premises intended to be used by him for manufacture of notified goods of different retail sale prices and the number of machines intended to be used by him in each of such part or section, the rate of duty applicable to goods of highest retail sale price so manufactured by him shall be payable in respect of all the packing machines operated by him for the period during which such manufacturing took place. (8) In case a new manufacturer commences production of notified goods in a particular month, his monthly duty payable for that month shall be calculated on a pro-rata basis of the total number of days in the month and the number of days remaining in that month starting from the date of such commencement and shall be paid within five days of such commencement. 14. Retail sale price to be declared on the package. - Every manufacturer shall declare the retail sale price of the notified goods on the package of such goods: Provided that if the manufacturer fails to declare the retail sale p....
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.... goods: Provided that where the manufacturer alters or tampers the declared retail sale price resulting into more than one retail sale price available on such goods, then, the highest of such retail sale price shall be taken as the retail sale price of all such goods; 16. Installation of Closed-Circuit Television System. - (1) Every manufacturer operating packing machines for the manufacture of the notified goods shall install a functional Closed-Circuit Television (CCTV) surveillance system covering all areas where packing machines are installed in the premises. (2) All recorded footage shall be preserved for a minimum period of ^3[twenty-four] months from the date of recording. (3) The manufacturer shall, on written requisition, furnish the recorded CCTV footage to the Additional Commissioner of Central Excise or the Joint Commissioner of Central Excise, as the case may be, or any officer authorised by him, within forty-eight hours of the receipt of such requisition. 17. Addition or removal of packing machines and other restrictions. - (1) In case a manufacturer does not intend to further operate a packing machine, he shall intimate the same to the....
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....CENVAT credit under sub-rule (1) may be taken immediately on receipt of bulk packs of notified goods and may be utilised for payment of duty leviable under section 3A of the Act on notified goods: Provided that while paying duty, the CENVAT credit shall be utilized only to the extent such credit is available on the last day of the month preceding the month for which duty is paid. (4) The CENVAT credit under sub-rule (1) shall be taken by the manufacturer on the basis of an invoice issued by a manufacturer for clearance of bulk packs of notified goods from his factory. (5) The manufacturer shall maintain proper records for the receipt, disposal, consumption and inventory of the bulk packs of notified goods used for manufacture of notified goods in which the relevant information regarding the value, duty paid, CENVAT credit taken and utilised, the person from whom such bulk packs have been procured is recorded and the burden of proof regarding the admissibility of the CENVAT credit shall lie upon the manufacturer taking such credit. (6) Where the CENVAT credit has been taken or utilised wrongly, the same along with interest shall be recovered from the manufacturer and the....
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....ed goods in contravention of any provision of these rules, then, all such goods shall be liable to confiscation, and the manufacturer shall be liable to a penalty not exceeding the duty leviable on the notified goods in respect of which aforesaid contravention has been committed. (2) If it is found that goods have been manufactured in or cleared from a unit which is not registered with the jurisdictional Central Excise Office, then, the duty liability of such unit shall be determined on the basis of number of packing machines found available in the premises of the unit and the retail sale price of the pouches manufactured with the aid of such packing machines and unless evidence to the contrary is provided to the satisfaction of the jurisdictional Deputy Commissioner of Central Excise or the Assistant Commissioner of Central Excise, as the case may be, such machines shall be deemed to have been in operation, from 1st February, 2026, or the last five years, whichever is later, and shall be construed as operating packing machines for the purposes of rule 6 and dealt with accordingly. (3) If the manufacturer fails to furnish recorded CCTV footage to the jurisdictional Additional....
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....ilable (Refer Rule 6 of the specified Rules) S l. N o . Ma ke (if ava ilab le) Mo del No. (if ava ilab le) Nam e of man ufact urer M ac hin e No . Ad dre ss of the fac tor y or pre mi ses Da te of pu rch ase No. of tra cks (onl y for vert ical mac hin es) (as per cert ific ate of Ch art ere d En gin eer) Ge ar Box Rat io of the Ma chi ne (as per cert ific ate of Ch art ere d En gin eer) Rev olut ion Per Min ute of mai n mot or (as per cert ific ate of Cha rter ed Eng inee r) Nu mb er of Fu nne ls (onl y for hori zon tal mac hin es) (as per cert ific ate of Ch art ere d En gin eer) RS P of po uc he s (in Rs ) Nat ure of Pac kin g (e.g ., Pou ch, Tin , Co ntai ner) Pac kin g cap acit y of eac h tra ck (Ma xim um No. of pac kag es whi ch can be pac ked for a part icul ar wei ght of pac kag e in a min ute) Tot al pac kin g cap acit y of the mac hin e for a spe cifi c wei ght of pac kag ....
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....bsp; Part B: Newly Added Machines (If applicable) S l. N o . Ma ke (if ava ilab le) Mo del No. (if ava ilab le) Nam e of man ufact urer M ac hin e No . Ad dre ss of the fac tor y or pre mi ses Da te of pu rch ase No. of tra cks (onl y for vert ical mac hin es) (as per cert ific ate of Ch art ere d En gin eer) Ge ar Box Rat io of the Ma chi ne (as per cert ific ate of Ch art ere d En gin eer) Rev olut ion Per Min ute of mai n mot or (as per cert ific ate of Cha rter ed Eng inee r) Nu mb er of Fu nne ls (onl y for hori zon tal mac hin es) (as per cert ific ate of Ch art ere d En gin eer) RS P of po uc he s (in Rs ) Nat ure of Pac kin g (e.g ., Pou ch, Tin , C....
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.... Date of chan ge in any para mete r listed . (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14) 7. Details of the intimation of the machines furnished to other departments. Sl. No. Date of intimation Name of Govt. department / any other agency or organisation. Details of declaration (Proof to be uploaded as pdf) (1) (2) (3) (4) 8. Disposal of Packing Machines (To be filed as an amendment) Sl. No. Registration No. of the machine Date of disposal Reason of disposal (Supplied/ Condemned) (1) (2) (3) (4) 9. Ground plan and details of the part or section of the factory premises intended to be used by manufact....
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.... Interest Penalty Any other Total Amount Total amount (in words): 5. Details of Abatement allowed by the Deputy Commissioner/ Assistant Commissioner: Sl. No. Machine Registration No. Total duty liability for the machine (Rs.) No. of Days the machine was inoperative in the previous month Net Abatement Claimed Order of abatement reference Number* Order of abatement date (1) (2) (3) (4) (5) (6) (7) 1 ... Total • Order of abatement to be attached. I hereby solemnly affirm and declare that the information given herein above is true and correct to the best of my knowledge and belief and nothing has been concealed therefrom. Place :............. Date .............: Name of the Manufacturer/ Authorised Signatory Desi....