2[12AAA. Power to impose restrictions in certain types of cases.

Notwithstanding anything contained in these rules, where the Central Government, having regard to the extent of misuse of CENVAT credit, nature and type of such misuse and such other factors as may be relevant, is of the opinion that in order to prevent the misuse of the provisions of CENVAT credit as specified in these rules, it is necessary in the public interest to provide for certain measures including restrictions on a manufacturer,4[registered importer,] first stage and second stage dealer 3[provider of taxable service ] or an exporter, may by notification in the Official Gazette, specify the nature of restrictions including restrictions on utilization of CENVAT credit and suspension of registration in case of 5[an importer or] a dealer and type of facilities to be withdrawn and procedure for issue of such order by the 6[Principal Chief Commissioner of Central Excise or Chief  Commissioner of Central Excise, as  the case may be].

Explanation.- For the purposes of this rule, it is hereby clarified that every proposal initiated in terms of the procedure specified under notification no. 05/2012-CE (N.T.) dated the 12th March, 2012 published in the Gazette of India, Part II, Section 3, Sub-section (i) vide number G.S.R. 140(E), dated the 12th March, 2012, which is pending, shall be treated as initiated in terms of the procedure specified under this rule and shall be decided accordingly.]

 

 

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Notes :

1. Substituted vide notification no. 3/2012 CE(NT) dated 12-3-2012, before as it was inserted as Rule 12AA vide notification no. 31/2006 CE(NT) dated 12-30-2006, read as,

12AA. Power to impose restrictions in certain types of cases.

Notwithstanding anything contained in these rules, where the Central Government, having regard to the extent of misuse of CENVAT credit, nature and type of such misuse and such other factors as may be relevant, is of the opinion that in order to prevent the misuse of the provisions of CENVAT credit as specified in these rules, it is necessary in the public interest to provide for certain measures including restrictions on a manufacturer, first stage and second stage dealer or an exporter, may by a notification in the Official Gazette, specify nature of restrictions including restrictions on utilization of CENVAT credit and suspension of registration in case of a dealer and type of facilities to be withdrawn and procedure for issue of such order by an officer authorized by the Board.”

2. Substituted vide Notification No. 15/2014 – Central Excise (N.T.) dated 21st March, 2014, before as it was read as

1[12AAA: Power to impose restrictions in certain types of cases.-

Notwithstanding anything contained in these rules, where the Central Government, having regard to the extent of misuse of CENVAT credit, nature and type of such misuse and such other factors as may be relevant, is of the opinion that in order to prevent the misuse of the provisions of CENVAT credit as specified in these rules, it is necessary in the public interest to provide for certain measures including restrictions on a manufacturer, first stage and second stage dealer or an exporter, may by a notification in the Official Gazette, specify the nature of restrictions including restrictions on utilization of CENVAT credit and suspension of registration in case of a dealer and type of facilities to be withdrawn and procedure for issue of such order by an officer authorized by the Board.]”

3. Inserted vide Notification No. 25/2014-Central Excise (N.T.) dated 25th August, 2014

4. Inserted vide Not. 06/2015 – Dated 1-3-2015 w.e.f. 1st day of March, 2015

5. Inserted vide Not. 06/2015 – Dated 1-3-2015 w.e.f. 1st day of March, 2015

6. Substituted vide Not. 23/2014 – Dated 6-8-2014