Central Excise Rules, 1944 replaced with Central Excise (No.2) Rules, 2001 (2001) :
Reasons for replacement
- The Central Excise Rules, 1944 were in existence for long. It was widely perceived that quite a few of them had lost relevance or utility in the context of the changes being taken place in the administration of excise duties.
- Many of the rigidities and technicalities engulfing some of the rules had not been compatible with the spirit of tax reforms.
- Quite a few rules owed their birth to Department‘s succumbing to pressure to resolve trivial or peripheral issues.
- Some others appeared to justify their existence to Department‘s weakness to remain attached to past, oblivious of the needs of present or future.
- New rules were simple and concise.
- New rules were facilitator to the trade and industry and not be a material comprising complex and complicated reading.
Rules relating to CENVAT scheme, appeal procedure, etc. were deliberately not amalgamated in the Central Excise Rules, 2001 and were kept separate.