(1) This Act may be called the Finance Act, 1995.

(2) Save as otherwise provided in this Act, Sections 2 to 49 shall be deemed to have come into force on the 1st day of April, 1995.

RATES OF INCOME-TAX

(1) Subject to the provisions of sub-sections (2) and (3), for the assessment year commencing on the 1st day of April, 2[1996], income-tax shall be charged at the rates specified in Part I of the First Schedule and such tax shall be increased in the cases to which Paragraph E of that Part applies, by a surcharge, calculated in the manner provided therein.

(2) In the cases to which Sub-Paragraph I or Sub-Paragraph II of Paragraph A of Part I of the First Schedule applies, where the assessee has, in the previous year, any net agricultural income exceeding six hundred rupees, in addition to total income, and the total income exceeds,

(i) in a case to which the said Sub-Paragraph I applies, 3[forty thousand rupees], and

(ii) in a case to which the said Sub-Paragraph II applies, eighteen thousand rupees, then,

(a) the net agricultural income shall be taken into account, in the manner provided in clause (b) [that is to say, as if the net agricultural income were comprised in the total income after,

(i) in a case to which the said Sub-Paragraph I applies, the first 4[forty thousand rupees]; and

(ii) in a case to which the said Sub-Paragraph II applies, the first eighteen thousand rupees, of the total income but without being liable to tax], only for the purpose of charging income-tax in respect of the total income; and

(b) the income-tax chargeable shall be calculated as follows:

(i) the total income and the net agricultural income shall be aggregated and the amount of income-tax shall be determined in respect of the aggregate income at the rates specified in Sub-Paragraph I or, as the case may be, Sub-Paragraph II of the said Paragraph A, as if such aggregate income were the total income;

(ii) the net agricultural income shall be increased,

(A) in a case to which the said Sub-Paragraph I applies, by a sum of 5[forty thousand rupees]; and

(B) in a case to which the said Sub-Paragraph II applies, by a sum of eighteen thousand rupees,

and the amount of income-tax shall be determined in respect of the net agricultural income as so increased at the rates specified in Sub-Paragraph I or, as the case may be, Sub-Paragraph II of the said Paragraph A, as if the net agricultural income as so increased were the total income;

(iii) the amount of income-tax determined in accordance with sub-clause (i) shall be reduced by the amount of income-tax determined in accordance with sub-clause (ii) and the sum so arrived at shall be the income-tax in respect of the total income.

(3) In cases to which the provisions of Chapter XII or Chapter XII-A or sub-section (1-A) of Section 161 or Section 164 or Section 164-A or Section 167-B of the Income Tax Act, 1961 (43 of 1961) (hereinafter referred to as the Income Tax Act) apply, the tax chargeable shall be determined as provided in that Chapter or that section, and with reference to the rates imposed by sub-section (1) or the rates as specified in that Chapter or section, as the case may be:

Provided that the amount of income-tax computed in accordance with the provisions of 6[Sections 112 and 113 of the Income-tax Act] shall be increased in the case of a domestic company by a surcharge as provided in Paragraph E of Part I of the First Schedule:

Provided further that in respect of any income chargeable to tax under Section 115-B, or in the case of a domestic company having a total income exceeding seventy-five thousand rupees, under Section 115-BB, of the Income Tax Act, the Income Tax computed shall be increased by a surcharge calculated at the rate of fifteen per cent. of such income-tax.

(4) In cases in which tax has to be deducted under Sections 193, 194, 194-A, 194-B, 194-BB, 194-D and 195 of the Income Tax Act at the rates in force, the deduction shall be made at the rates specified in Part II of the First Schedule and shall be increased in the cases to which the provisions of sub-item (a) of Item 2 of that Part apply, by a surcharge, calculated in the manner provided therein.

(5) In cases in which tax has to be deducted under Sections 194-C, 194-G, 194-I, 194-J and 194-K of the Income Tax Act, the deduction shall be made at the rates specified in those sections and shall be increased in the case of an assessee, being a domestic company, by a surcharge calculated at the rate of fifteen per cent. of such deduction.

(6) In cases in which tax has to be collected under Section 206-C of the Income Tax Act, the collection shall be made at the rate specified in that section and shall be increased in the case of a buyer, being a domestic company, by a surcharge calculated at the rate of fifteen per cent. of such collection.

(7) Subject to the provisions of sub-section (8), in cases in which income-tax has to be calculated under the first proviso to sub-section (5) of Section 132 of the Income Tax Act or charged under sub-section (4) of Section 172 or sub-section (2) of Section 174 or Section 175 or sub-section (2) of Section 176 of the said Act or deducted under Section 192 of the said Act from income chargeable under the head Salaries or in which the advance tax payable under Chapter XVII-C of the said Act has to be computed, at the rate or rates in force, such income-tax or, as the case may be, advance tax shall be so calculated, charged, deducted or computed at the rate or rates specified in Part III of the First Schedule and such tax shall be increased in the cases to which Paragraph E of that Part applies, by a surcharge, calculated in the manner provided therein:

Provided that in cases to which the provisions of Chapter XII or Chapter XII-A or sub-section (1-A) of Section 161 or Section 164 or Section 164-A or Section 167-B of the Income Tax Act apply, advance tax shall be computed with reference to the rates imposed by this sub-section or the rates as specified in that Chapter or section, as the case may be:

Provided further that the amount of income-tax computed in accordance with the provisions of Sections 112 and 113 shall be increased in the case of a domestic company by a surcharge as provided in Paragraph E of Part III of the First Schedule:

Provided also that in respect of any income chargeable to tax under Section 115-B, or in the case of a domestic company, under Section 115-BB, of the Income-tax Act, having a total income exceeding seventy-five thousand rupees, the advance tax computed under the first proviso shall be increased by a surcharge calculated at the rate of fifteen per cent. of such advance tax .

(8) In the cases to which Sub-Paragraph I or Sub-Paragraph II of Paragraph A of Part III of the First Schedule applies, where the assessee has, in the previous year, or if by virtue of any provision of the Income-tax Act, income-tax is to be charged in respect of the income of a period other than the previous year, in such other period, any net agricultural income exceeding six hundred rupees, in addition to total income and the total income exceeds,

(i) in a case to which the said Sub-Paragraph I applies, forty thousand rupees, and

(ii) in a case to which the said Sub-Paragraph II applies, eighteen thousand rupees,

then, in calculating income-tax under the first proviso to sub-section (5) of Section 132 of the Income-tax Act or in charging income-tax under sub-section (2) of Section 174 or Section 175 or sub-section (2) of Section 176 of the said Act or in computing the advance tax payable under Chapter XVII-C of the said Act, at the rate or rates in force,

(a) the net agricultural income shall be taken into account, in the manner provided in clause (b) [that is to say, as if the net agricultural income were comprised in the total income after,

(i) in a case to which the said Sub-Paragraph I applies, the first forty thousand rupees, and

(ii) in a case to which the said Sub-Paragraph II applies, the first eighteen thousand rupees,

of the total income but without being liable to tax], only for the purpose of calculating, charging or computing such income-tax or, as the case may be, advance tax in respect of the total income; and

(b) such income-tax or, as the case may be, advance tax shall be so calculated, charged or computed as follows:

(i) the total income and the net agricultural income shall be aggregated and the amount of income-tax or advance tax shall be determined in respect of the aggregate income at the rates specified in Sub-Paragraph I or, as the case may be, Sub-Paragraph II of the said Paragraph A, as if such aggregate income were the total income;

(ii) the net agricultural income shall be increased,

(A) in a case to which the said Sub-Paragraph I applies, by a sum of forty thousand rupees; and

(B) in a case to which the said Sub-Paragraph II applies, by a sum of eighteen thousand rupees,

and the amount of income-tax or advance tax shall be determined in respect of the net agricultural income as so increased at the rates specified in the said Sub-Paragraph I or, as the case may be, the said Sub-Paragraph II as if the net agricultural income as so increased were the total income;

(iii) the amount of income-tax or advance tax determined in accordance with sub-clause (i) shall be reduced by the amount of income-tax or, as the case may be, advance tax determined in accordance with sub-clause (ii) and the sum so arrived at shall be the income-tax or, as the case may be, advance tax in respect of the total income.

(9) For the purposes of this section and the First Schedule,

(a) domestic company means an Indian company, or any other company which, in respect of its income liable to income-tax under the Income-tax Act for the assessment year commencing on the 1st day of April, 7[1996], has made the prescribed arrangements for the declaration and payment within India of the dividends (including dividends on preference shares) payable out of such income in accordance with the provisions of Section 194 of the Act;

(b) insurance commission means any remuneration or reward, whether by way of commission or otherwise, for soliciting or procuring insurance business (including business relating to the continuance, renewal or revival of policies of insurance);

(c) net agricultural income , in relation to a person, means the total amount of agricultural income, from whatever source derived, of that person computed in accordance with the rules contained in Part IV of the First Schedule;

(d) all other words and expressions used in this section or in the First Schedule but not defined in this sub-section and defined in the Income-tax Act shall have the meanings respectively assigned to them in that Act.

DIRECT TAXES

Income-tax

In Section 2 of the Income-tax Act, in clause (42-A), in Explanation 1, in clause (1), after sub-clause (e) the following sub-clause shall be inserted, with effect from the 1st day of April, 1996, namely:

(f) In the case of a capital asset, being a financial asset, allotted without any payment and on the basis of holding of any other financial asset, the period shall be reckoned from the date of the allotment of such financial asset; .

4. Amendment of Section 10. In Section 10 of the Income-tax Act,

(1) Amendment of Section 10. In clause (10-D), after the words such policy the words, brackets, figures and letters other than any sum received under sub-section (3) of Section 80-DDA shall be inserted with effect from the 1st day of April, 1996;

(2) in clause (14), with effect from the 1st day of July, 1995,

(a) in sub-clause (i), for the words as the Central Government may, by notification in the Official Gazette, specify , the words as may be prescribed shall be substituted;

(b) in sub-clause (ii), for the words as the Central Government may, by notification in the Official Gazette, specify, to the extent specified in the notification , the words as may be prescribed and to the extent as may be prescribed shall be substituted;

(3) in clause (15), for sub-clause (v), the following sub-clause shall be substituted, namely:

(v) interest on

(a) securities held by the Welfare Commissioner, Bhopal Gas Victims, Bhopal, in the Reserve Bank's SGL Account No. SL/DH-048;

(b) deposits for the benefit of the victims of the Bhopal gas leak disaster held in such account, with the Reserve Bank of India or with a public sector bank, as the Central Government may, by notification in the Official Gazette, specify, whether prospectively or retrospectively but in no case earlier than the 1st day of April, 1994 in this behalf.

Explanation. For the purposes of this sub-clause, the expression public sector bank shall have the meaning assigned to it in the Explanation to clause (23-D); ;

(4) for clause (15-A), the following clause shall be substituted with effect from the 1st day of April, 1996, namely:

(15-A) any payment made, by an Indian company engaged in the business of operation of aircraft, to acquire an aircraft or an aircraft engine (other than a payment for providing spares, facilities or services in connection with the operation of leased aircraft) on lease from the Government of a foreign State or a foreign enterprise under an agreement approved by the Central Government in this behalf.

Explanation. For the purposes of this clause, the expression foreign enterprise means a person who is a non-resident; ;

(5) after clause (23-AA), the following clause shall be inserted, with effect from the 1st day of April, 1996, namely:

(23-AAA) any income received by any person on behalf of a fund established, for such purposes as may be notified by the Board in the Official Gazette, for the welfare of employees or their dependants and of which fund such employees are members if such fund fulfills the following conditions, namely:

(a) the fund

(i) applies its income, or accumulates it for application, wholly and exclusively to the objects for which it is established; and

(ii) invests its funds and contributions and other sums received by it in the forms or modes specified in sub-section (5) of Section 11;

(b) the fund is approved by the Commissioner in accordance with the rules made in this behalf:

Provided that any such approval shall at any one time have effect for such assessment year or years not exceeding three assessment years as may be specified in the order of approval; ;

(6) in clause (23-D), for the portion beginning with the words any income of such Mutual Fund and ending with the words specify in this behalf , the following shall be substituted with effect from the 1st day of July, 1995, namely:

any income of

(i) a Mutual Fund registered under the Securities and Exchange Board of India Act, 1992 (15 of 1982) or regulations made thereunder;

(ii) such other Mutual Fund set up by a public sector bank or a public financial institution or authorised by the Reserve Bank of India and subject to such conditions as the Central Government may, by notification in the Official Gazette, specify in this behalf ;

(7) after clause (23-E), the following clause shall be inserted with effect from the 1st day of April, 1996, namely:

(23-F) any income by way of dividends or long-term capital gains of a venture capital fund or a venture capital company from investments made by way of equity shares in a venture capital undertaking:

Provided that such venture capital fund or venture capital company is approved for the purposes of this clause by the prescribed authority in accordance with the rules made in this behalf and satisfies the prescribed conditions:

Provided further that any approval by the prescribed authority shall, at any one time, have effect for such assessment year or years, not exceeding three assessment years, as may be specified in the order of approval:

Provided also that if the aforesaid equity shares are transferred (other than in the event of the said shares being listed in a recognised stock exchange in India) by a venture capital fund or a venture capital company to any person at any time within a period of three years from the date of their acquisition, the aggregate amount of income by way of dividends on such equity shares which has not been included in the total income of the previous year or years preceding the previous year in which such transfer has taken place shall be deemed to be the income of the venture capital fund or of the venture capital company of the previous year in which such transfer has taken place:

Provided also that the exemption shall not be allowed in respect of the long-term capital gains, if any, arising on such transfer of equity shares as is mentioned in the third proviso.

Explanation. For the purposes of this clause,

(a) venture capital fund means such fund, operating under a trust deed registered under the provisions of the Registration Act, 1908 (16 of 1908), established to raise monies by the trustees for investments mainly by way of acquiring equity shares of a venture capital undertaking in accordance with the prescribed guidelines;

(b) venture capital company means such company as has made investments by way of acquiring equity shares of venture capital undertakings in accordance with the prescribed guidelines; and

(c) venture capital undertaking means such domestic company whose shares are not listed in a recognised stock exchange in India and which is engaged in the manufacture or production of such articles or things (including computer software) as may be notified by the Central Government in this behalf. ;

(8) after clause (25), the following clause shall be inserted and shall be deemed always to have been inserted with effect from the 1st day of April, 1962, namely:

(25-A) any income of the Employees' State Insurance Fund set up under the provisions of the Employees' State Insurance Act, 1948 (34 of 1948); ;

(9) after clause (26-B), the following clause shall be inserted, namely:

(26-BB) any income of a corporation established by the Central Government or any State Government for promoting the interests of the members of a minority community.

Explanation. For the purposes of this clause, minority community means a community notified as such by the Central Government in the Official Gazette in this behalf; .

In Section 10-A of the Income-tax Act, in sub-section (2), after clause (i), the following clause shall be inserted with effect from the 1st day of April, 1996, namely:

(i-a) in relation to an undertaking which begins to manufacture or produce any article or thing on or after the 1st day of April, 1995, its exports of such articles or things are not less than seventy-five per cent. of the total sales thereof during the previous year; .

In Section 17 of the Income-tax Act, in clause (3), in sub-clause (ii), with effect from the 1st day of April, 1996,

(a) after the word, brackets and figures clause (12) , the word, brackets and figures, clause (13) shall be inserted;

(b) the brackets and words (not being an approved superannuation fund) shall be omitted.

In Section 32 of the Income-tax Act, in sub-section (1), with effect from the 1st day of April, 1996,

(a) the first proviso shall be omitted;

(b) in the second proviso, the word further shall be omitted;

(c) in the third proviso, for the word also , the word further shall be substituted.

In Section 33-AC of the Income-tax Act, in sub-section (1), for the portion beginning with the words In the case of an assessee and ending with the words, brackets and figure manner laid down in sub-section (2): , the following shall be substituted with effect from the 1st day of April, 1996, namely:

In the case of an assessee, being a Government company or a public company formed and registered in India with the main object of carrying on the business of operation of ships, there shall, in accordance with and subject to the provisions of this section, be allowed a deduction of an amount not exceeding fifty per cent. of profits derived from the business of operation of ships (computed under the head Profits and gains of business or profession and before making any deduction under this section), as is debited to the profit and loss account of the previous year in respect of which the deduction is to be allowed and credited to a reserve account, to be utilised in the manner laid down in sub-section (2): .

In Section 35-CCA of the Income-tax Act, in sub-section (1), with effect from the 1st day of April, 1996,

(a) in clause (c), for the word behalf, , the words behalf; or shall be substituted;

(b) after clause (c), the following clause shall be inserted, namely:

(d) to the National Urban Poverty Eradication Fund set up and notified by the Central Government in this behalf, .

In Section 36 of the Income-tax Act, in sub-section (1), in clause (viii), with effect from the 1st day of April, 1996,

(a) for the portion beginning with the words industrial or agricultural development in India and ending with the words such reserve account , the following shall be substituted, namely:

industrial or agricultural development or development of infrastructural facility in India or by a public company formed and registered in India with the main object of carrying on the business of providing long-term finance for construction or purchase of houses in India for residential purposes, an amount not exceeding forty per cent. of the profits derived from such business of providing long-term finance (computed under the head Profits and gains of business or profession before making any deduction under this section) carried to such reserve account: ;

(b) in the Explanation, after clause (c), the following clause shall be inserted, namely:

(d) infrastructure facility shall have the meaning assigned to it in Section 80-IA. .

In Section 40-A of the Income-tax Act, in sub-section (3), for the words such expenditure shall not be allowed as a deduction , the words twenty per cent. of such expenditure shall not be allowed as a deduction shall be substituted with effect from the 1st day of April, 1996.

In Section 43 of the Income-tax Act, in clause (3) after the words business or profession , the words but does not include tea bushes or livestock shall be inserted and shall be deemed always to have been inserted with effect from the 1st day of April, 1962.

In Section 44-AB of the Income-tax Act, with effect from the 1st day of July, 1995,

(a) for the words obtain before , the words furnish by shall be substituted;

(b) in the first proviso, the words, figures and letters Section 44-AC or shall be omitted;

(c) in the second proviso, for the words obtains before , the words furnishes by shall be substituted.

In Section 55 of the Income-tax Act, in sub-section (2), in clause (aa), with effect from the 1st day of April, 1996,

(i) for the portion beginning with the words in a case where and ending with the words, brackets, figures and letter sub-clauses (i) and (ii) of clause (b) , the following shall be substituted, namely:

in a case where, by virtue of holding a capital asset, being a share or any other security, within the meaning of clause (h) of Section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956) (hereafter in this clause referred to as the financial asset), the assessee

(A) becomes entitled to subscribe to any additional financial asset; or

(B) is allotted any additional financial asset without any payment,

then, subject to the provisions of sub-clauses (i) and (ii) of clause (b) ;

(ii) after sub-clause (iii), the following sub-clause shall be inserted, namely:

(iii-a) in relation to the financial asset allotted to the assessee without any payment and on the basis of holding of any other financial asset, shall be taken to be nil in the case of such assessee; .

After Section 80-DD of the Income-tax Act, the following section shall be inserted, with effect from the 1st day of April, 1996, namely:

80-DDA. Deduction in respect of deposit made for maintenance of handicapped dependant. (1) In computing the total income of an assessee who is resident in India, being an individual or a Hindu undivided family, there shall be deducted, in accordance with and subject to the provisions of this section, an amount not exceeding twenty thousand rupees paid or deposited by him in the previous year, out of his income chargeable to tax, under any scheme framed in this behalf by the Life Insurance Corporation or the Unit Trust of India subject to the conditions specified in sub-section (2) and approved by the Board in this behalf.

(2) The deduction under sub-section (1) shall be allowed only if the following conditions are fulfilled, namely:

(a) the scheme referred to in sub-section (1) provides for payment of annuity or lump sum amount for the benefit of a handicapped dependant in the event of the death of the individual or the member of the Hindu undivided family in whose name subscription to the scheme has been made;

(b) the assessee nominates either the handicapped dependant or any other person or a trust to receive the payment on his behalf, for the benefit of the handicapped dependant.

(3) If the handicapped dependant predeceases the individual or the member of the Hindu undivided family referred to in sub-section (2), an amount equal to the amount paid or deposited under sub-section (1) shall be deemed to be the income of the assessee of the previous year in which such amount is received by the assessee and shall accordingly be chargeable to tax as the income of that previous year.

(4) In this section,

(a) Government hospital shall have the meaning assigned to it in the Explanation to Section 80-DD;

(b) handicapped dependant shall mean a person who

(i) is a relative of the individual or, as the case may be, is a member of the Hindu undivided family and is not dependant on any person other than such individual or Hindu undivided family for his support or maintenance; and

(ii) is suffering from a permanent physical disability (including blindness) or is subject to mental retardation, being a permanent physical disability or mental retardation specified in the rules made by the Board for the purposes of Section 80-DD, which is certified by a physician, a surgeon, an oculist or a psychiatrist, as the case may be, working in a Government hospital, and which has the effect of reducing considerably such person's capacity for normal work or engaging in a gainful employment or occupation;

(c) Life Insurance Corporation shall have the same meaning as in clause (iii) of sub-section (8) of Section 88;

(d) Unit Trust of India means the Unit Trust of India established under the Unit Trust of India Act, 1963 (52 of 1963). .

In Section 80-G of the Income-tax Act,

(a) in sub-section (1), in clause (i), after the words, brackets, figures and letter sub-clause (iii-g) or , the words, brackets, figures and letter sub-clause (iii-h) or shall be inserted with effect from the 1st day of April, 1996;

(b) in sub-section (2), in clause (a),

(i) after sub-clause (iii-g), the following sub-clause shall be inserted with effect from the 1st day of April, 1996, namely:

(iii-h) any Zila Saksharta Samiti constituted in any district under the chairmanship of the Collector of that district for the purposes of improvement or primary education in villages and towns in such district and for literacy and post-literacy activities.

Explanation. For the purposes of this sub-clause, town means a town which has a population not exceeding one lakh according to the last preceding census of which the relevant figures have been published before the first day of the previous year; or ;

(ii) after sub-clause (vi), the following sub-clause shall be inserted, namely:

(vi-a) any corporation referred to in clause (26-BB) of Section 10; or ;

(c) in sub-section (4), for the brackets, figures and word (vi) and (vii) , the brackets, figures, letter and word (vi), (vi-a) and (vii) shall be substituted.

In Section 80-GGA of the Income-tax Act, in sub-section (2), after clause (d), the following clause shall be inserted with effect from the 1st day of April, 1996, namely:

(e) any sum paid by the assessee in the previous year to the National Urban Poverty Eradication Fund set up and notified by the Central Government for the purposes of clause (d) of sub-section (1) of Section 35-CCA. .

In Section 80-HHE of the Income-tax Act, in sub-section (1), the proviso shall be omitted with effect from the 1st day of April, 1996.

In Section 80-1-A of the Income-tax Act, with effect from the 1st day of April, 1996,

(a) In sub-section (1), for the words and brackets operation of a ship (such business being hereinafter referred to as the eligible business) , the words and brackets operation of a ship or developing, maintaining and operating any infrastructure facility (such business being hereinafter referred to as the eligible business) shall be substituted;

(b) in sub-section (2), in clause (iv), after sub-clause (c), the following sub-clause shall be inserted, namely:

(d) in the case of an industrial undertaking being a small scale industrial undertaking, not specified in sub-clause (b) or in sub-clause (c), it begins to manufacture or produce articles or things or to operate its cold storage plant at any time during the period beginning on the 1st day of April, 1995 and ending on the 31st day of March, 2000; ;

(c) after sub-section (4), the following sub-section shall be inserted, namely:

(4-A) This section applies to any enterprise carrying on the business of developing, maintaining and operating any infrastructure facility which fulfils all the following conditions, namely:

(i) the enterprise is owned by a company registered in India or by a consortium of such companies;

(ii) the enterprise has entered into an agreement with the Central Government or a State Government or a local authority or any other statutory body for developing, maintaining and operating a new infrastructure facility subject to the condition that such infrastructure facility shall be transferred to the Central Government, State Government, local authority or such other statutory body, as the case may be, within the period stipulated in the agreement;

(iii) the enterprise starts operating and maintaining the infrastructure facility on or after the 1st day of April, 1995. ;

(d) in sub-section (5),

(i) in clause (i), in sub-clause (a), after the word, brackets and letter sub-clause (a) , the words, brackets and letter or sub-clause (d) shall be inserted;

(ii) after clause (i), the following clause shall be inserted, namely:

(i-a) in the case of an enterprise referred to in sub-section (4-A), hundred per cent. of the profits and gains derived from such business for the initial five assessment years and thereafter, thirty per cent. of such profits and gains; ;

(e) in sub-section (6), after clause (iii), the following clause shall be inserted, namely:

(iv) any ten consecutive assessment years falling within a period of twelve assessment years beginning with the assessment year in which an assessee begins, operating and maintaining infrastructure facility. ;

(f) in sub-section (12), for clause (c), the following clauses shall be substituted, namely:

(c) initial assessment year

(1) in the case of an industrial undertaking or cold storage plant or ship or hotel, means the assessment year relevant to the previous year in which the industrial undertaking begins to manufacture or produce articles or things, or to operate its cold storage, plant or plants or the ship is first brought into use or the business of the hotel starts functioning;

(2) in the case of an enterprise, carrying on the business of developing, operating and maintaining any infrastructure facility, means the assessment year specified by the assessee at his option to be the initial year, not falling beyond the twelfth assessment year starting from the previous year in which the enterprise begins operating and maintaining the infrastructure facility;

(ca) infrastructure facility means a road, highway, bridge, airport, port or rail system or any other public facility of a similar nature as may be notified by the Board in this behalf in the Official Gazette; .

In Section 80-L of the Income-tax Act, in sub-section (1), in clauses (1) and (2), for the words ten thousand , the words thirteen thousand shall be substituted with effect from the 1st day of April, 1996.

In Section 80-U of the Income-tax Act, for the words twenty thousand rupees , the words forty thousand rupees shall be substituted, with effect from the 1st day of April, 1996.

In Section 88 of the Income-tax Act, with effect from the 1st day of April, 1996,

(i) sub-section (3) shall be omitted;

(ii) in sub-section (7), in clause (i), for the words contract of insurance, before premiums have been paid for two years; or , the following shall be substituted, namely:

contract of insurance,

(a) in case of any single premium policy, within two years after the date of commencement of insurance, or

(b) in any other case, before premiums have been paid for two years; or .

In Section 112 of the Income-tax Act, in sub-section (1), with effect from the 1st day of April, 1996,

(i) the proviso at the end of clause (b) shall be omitted;.

After Section 112 of the Income-tax Act, the following section shall be inserted with effect from the 1st day of July, 1995, namely:

113. Tax in the case of block assessment of search cases. The total undisclosed income of the block period, determined under Section 158-BC, shall be chargeable to tax at the rate of sixty per cent. .

In Section 115-K of the Income-tax Act, with effect from the 1st day of April, 1996,

(a) for the words forty-two thousand rupees , wherever they occur, the words forty-seven thousand rupees shall be substituted;

(b) for the words five lakh rupees , at both the places where they occur, the words six lakh rupees shall be substituted.

In Section 132, in sub-section (5), after the words, brackets, figure and letter or sub-section (1-A) , the words, figures and letters as a result of a search initiated or requisition made before the 1st day of July, 1995, shall be inserted with effect from the 1st day of July, 1995.

In Section 133 of the Income-tax Act, in clause (6), with effect from the 1st day of July, 1995,

(a) after the words will be useful for, or relevant to, any , the words inquiry or shall be inserted; and

(b) after the proviso, the following proviso shall be inserted, namely:

Provided further that the power in respect of an inquiry, in a case where no proceeding is pending, shall not be exercised by any income-tax authority below the rank of Director or Commissioner without the prior approval of the Director or, as the case may be, the Commissioner. .

In Section 133-A of the Income-tax Act, with effect from the 1st day of July, 1995,

(a) in sub-section (1),

(i) in clause (b), the word or shall be inserted at the end;

(ii) after clause (b), the following clause shall be inserted, namely:

(c) any place in respect of which he is authorised for the purposes of this section by such income-tax authority, who is assigned the area within which such place is situated or who exercises jurisdiction in respect of any person occupying such place, ;

(b) in the Explanation occurring at the end, in clause (a), for the words a Deputy Commissioner , the words a Commissioner, a Deputy Commissioner, a Director, a Deputy Director, shall be substituted.

In Section 139 of the Income-tax Act, with effect from the 1st day of July, 1995,

(a) in sub-section (6-A)

(i) the words, brackets and figures sub-sections (1) and (3) of shall be omitted;

(ii) for the words, figures and letters obtained under Section 44-AB , the words, figures and letters referred to in Section 44-AB, or, where the report has been furnished prior to the furnishing of the return, a copy of such report together with proof of furnishing the report shall be substituted;

(b) in sub-section (9), in the Explanation, for clause (bb), the following clause shall be substituted, namely:

(bb) the return is accompanied by the report of the audit referred to in Section 44-AB, or, where the report has been furnished prior to the furnishing of the return, by a copy of such report together with proof of furnishing the report; .

For Section 139-A of the Income-tax Act, the following section shall be substituted with effect from the 1st day of July, 1995, namely:

139-A. Permanent account number. (1) Every person,

(i) if his total income or the total income of any other person in respect of which he is assessable under this Act during any previous year exceeded the maximum amount which is not chargeable to income-tax; or

(ii) carrying on any business or profession whose total sales, turnover or gross receipts are or is likely to exceed fifty thousand rupees in any previous year; or

(iii) who is required to furnish a return of income under sub-section (4-A) of Section 139,

and who has not been allotted a permanent account number shall, within such time, as may be prescribed, apply to the Assessing Officer for the allotment of a permanent account number.

(2) The Assessing Officer may also allot to any other person by whom tax is payable, a permanent account number.

(3) Any person, not falling under sub-section (1) or sub-section (2), may apply to the Assessing Officer for the allotment of a permanent account number and, thereupon, the Assessing Officer shall allot a permanent account number to such person forthwith.

(4) For the purpose of allotment of permanent account numbers under the new series, the Board may, by notification in the Official Gazette, specify the date from which the persons referred to in sub-sections (1) and (2) and other persons who have been allotted permanent account numbers and residing in a place to be specified in such notification, shall, within such time as may be specified, apply to the Assessing Officer for the allotment of a permanent account number under the new series and upon allotment of such permanent account number to a person, the permanent account number, if any, allotted to him earlier shall cease to have effect:

Provided that the persons to whom permanent account number under the new series has already been allotted shall not apply for such number again.

(5) Every person shall

(a) quote such number in all his returns to, or correspondence with, any income-tax authority;

(b) quote such number in all challans for the payment of any sum due under this Act;

(c) quote such number in all documents pertaining to such transactions as may be prescribed by the Board in the interests of the revenue, and entered into by him:

Provided that the Board may prescribe different dates for different transactions or class of transactions or for different class of persons;

(d) intimate the Assessing Officer any change in his address or in the name and nature of his business on the basis of which the permanent account number was allotted to him.

(6) Every person receiving any document relating to a transaction prescribed under clause (c) of sub-section (5) shall ensure that the permanent account number has been duly quoted in the document.

(7) No person who has already been allotted a permanent account number under the new series shall apply, obtain or possess another permanent account number.

(8) The Board may make rules providing for

(a) the form and the manner in which an application may be made for the allotment of a permanent account number and the particulars which such application shall contain;

(b) the categories of transactions in relation to which permanent account numbers shall be quoted by every person in the documents pertaining to such transactions;

(c) the categories of documents pertaining to business or profession in which such numbers shall be quoted by every person.

Explanation. For the purposes of this section,

(a) Assessing Officer includes an income-tax authority who is assigned the duty of allotting permanent account numbers;

(b) permanent account number means a number which the Assessing Officer may allot to any person for the purpose of identification and includes a permanent account number allotted under the new series;

(c) permanent account number under the new series means a permanent account number having ten alphanumeric characters and issued in the form of a laminated card. .

For Section 145 of the Income-tax Act, the following section shall be substituted with effect from the 1st day of April, 1997, namely:

145. Method of accounting. (1) Income chargeable under the head Profits and gains of business or profession or Income from other sources shall, subject to the provisions of sub-section (2), be computed in accordance with either cash or mercantile system of accounting regularly employed by the assessee.

(2) The Central Government may notify in the Official Gazette from time to time accounting standards to be followed by any class of assessees or in respect of any class of income.

(3) Where the Assessing Officer is not satisfied about the correctness or completeness of the accounts of the assessee, or where the method of accounting provided in sub-section (1) or accounting standards as notified under sub-section (2), have not been regularly followed by the assessee, the Assessing Officer may make an assessment in the manner provided in Section 144. .

In the Income-tax Act, after Chapter XIV-A, the following Chapter shall be inserted with effect from the 1st day of July, 1995, namely:

Chapter XIV-B

SPECIAL PROCEDURE FOR ASSESSMENT OF SEARCH CASES

158-B. Definitions. In this Chapter, unless the context otherwise requires,

(a) block period means the period of ten previous years preceding the previous year in which the search was conducted under Section 132 or any requisition was made under Section 132-A, and includes, in the previous year in which such search was conducted or requisition made, the period up to the date of the commencement of such search or, as the case may be, the date of such requisition;

(b) undisclosed income includes any money, bullion, jewellery or other valuable article or thing or any income based on any entry in the books of account or other documents or transactions, where such money, bullion, jewellery, valuable article, thing, entry in the books of account or other document or transaction represents wholly or partly income or property which has not been or would not have been disclosed for the purposes of this Act.

158-BA. Assessment of undisclosed income as a result of search. (1) Notwithstanding anything contained in any other provisions of this Act, where after the 30th day of June, 1995 a search is initiated under Section 132 or books of account, other documents or any assets are requisitioned under Section 132-A in the case of any person, then, the Assessing Officer shall proceed to assess the undisclosed income in accordance with the provisions of this Chapter.

(2) The total undisclosed income relating to the block period shall be charged to tax, at the rate specified in Section 113, as income of the block period irrespective of the previous year or years to which such income relates and irrespective of the fact whether regular assessment for any one or more of the relevant assessment years is pending or not.

(3) Where the assessee proves to the satisfaction of the Assessing Officer that any part of income referred to in sub-section (1) relates to an assessment year for which the previous year has not ended or the date of filing the return of income under sub-section (1) of Section 139 for any previous year has not expired, and such income or the transactions relating to such income are recorded on or before the date of the search or requisition in the books of account or other documents maintained in the normal course relating to such previous years, the said income shall not be included in the block period.

158-BB. Computation of undisclosed income of the block period. (1) The undisclosed income of the block period shall be the aggregate of the total income of the previous years falling within the block period computed, in accordance with the provisions of Chapter IV, on the basis of evidence found as a result of search or requisition of books of account or documents and such other materials or information as are available with the Assessing Officer, as reduced by the aggregate of the total income, or as the case may be, as increased by the aggregate of the losses of such previous years, determined,

(a) where assessments under Section 143 or Section 144 or Section 147 have been concluded, on the basis of such assessments;

(b) where returns of income have been filed under Section 139 or Section 147 but assessments have not been made till the date of search or requisition, on the basis of the income disclosed in such returns;

(c) where the due date for filing a return of income has expired but no return of income has been filed, as nil;

(d) where the previous year has not ended or the date of filing the return of income under sub-section (1) of Section 139 has not expired, on the basis of entries relating to such income or transactions as recorded in the books of account and other documents maintained in the normal course on or before the date of the search or requisition relating to such previous years;

(e) where any order of settlement has been made under sub-section (4) of Section 245-D, on the basis of such order;

(f) where an assessment of undisclosed income had been made earlier under clause (c) of Section 158-BC, on the basis of such assessment.

Explanation. For the purposes of determination of undisclosed income,

(a) the total income or loss of each previous year shall, for the purpose of aggregation, be taken as the total income or loss computed in accordance with the provisions of Chapter IV without giving effect to set off of brought forward losses under Chapter VI or unabsorbed depreciation under sub-section (2) of Section 32;

(b) of a firm, or its partners, the method of computation of undisclosed income and its allocation to the partners shall be in accordance with the method adopted for determining the assessed income or returned income for each of the previous years falling within the block period;

(c) assessment under Section 143 includes determination of income under sub-section (1) or sub-section (1-B) of Section 143.

(2) In computing the disclosed income of the block period, the provisions of Sections 68, 69, 69-A, 69-B and 69-C shall, so far as may be, apply and references to financial year in those sections shall be construed as references to the relevant previous year falling in the block period including the previous year ending with the date of search or of the requisition.

(3) The burden of proving to the satisfaction of the Assessing Officer that any undisclosed income had already been disclosed in any return of income filed by the assessee before the commencement of search or of the requisition, as the case may be, shall be on the assessee.

(4) For the purpose of assessment under this Chapter, losses brought forward from the previous year under Chapter VI or unabsorbed depreciation under sub-section (2) of Section 32 shall not be set off against the undisclosed income determined in the block assessment under this Chapter, but may be carried forward for being set off in the regular assessments.

158-BC. Procedure for block assessment. Where any search has been conducted under Section 132 or books of account, other documents or assets are requisitioned under Section 132-A, in the case of any person, then,

(a) the Assessing Officer shall serve a notice to such person requiring him to furnish, within such time, not being less than fifteen days, as may be specified in the notice, a return in the prescribed form and verified in the same manner as a return under clause (i) of sub-section (1) of Section 142, setting forth his total income including the undisclosed income for the block period:

Provided that no notice under Section 148 is required to be issued for the purposes of proceeding under this Chapter;

(b) the Assessing Officer shall proceed to determine the undisclosed income of the block period in the manner laid down in Section 158-BB and the provisions of Section 142, sub-sections (2) and (3) of Section 143 and Section 144 shall so far as may be apply;

(c) the Assessing Officer, on determination of the undisclosed income of the block period in accordance with this Chapter, shall pass an order of assessment and determine the tax payable by him on the basis of such assessment;

(d) the assets seized under Section 132 or requisitioned under Section 132-A shall be retained to the extent necessary and the provisions of Section 132-B shall apply subject to such modifications as may be necessary and the references to regular assessment or reassessment in Section 132-B shall be construed as reference to block assessment .

158-BD. Undisclosed income of any other person. Where the Assessing Officer is satisfied that any undisclosed income belongs to any person, other than the person with respect to whom search was made under Section 132 or whose books of account or other documents or any assets were requisitioned under Section 132-A, then, the books of account, other documents or assets seized or requisitioned shall be handed over to the Assessing Officer having jurisdiction over such other person and that Assessing Officer shall proceed against such other person and the provisions of this Chapter shall apply accordingly.

158-BE. Time limit for completion of block assessment. (1) The order under Section 158-BC shall be passed within one year from the end of the month in which the last of the authorisations for search under Section 132 or for requisition under Section 132-A, as the case may be, in the case of an assessee, was executed.

(2) The period of limitation for completion of block assessment in the case of the other person referred to in Section 158-BD shall be one year from the end of the month in which the notice under this Chapter was served on such other person.

158-BF. Certain interests and penalties not to be levied or imposed. No interest under the provisions of Section 234-A, 234-B or 234-C or penalty under the provisions of clause (c) of sub-section (1) of Section 271 or Section 271-A or Section 271-B shall be levied or imposed upon the assessee in respect of the undisclosed income determined in the block assessment.

158-BG. Authority competent to make the block assessment. The order of assessment for the block period shall be passed by an Assessing Officer not below the rank of an Assistant Commissioner:

Provided that no such order shall be passed without the previous approval of the Commissioner.

158-BH. Application of other provisions of this Act. Save as otherwise provided in this Chapter, all other provisions of this Act shall apply to assessment made under this Chapter. .

In Section 194-A of the Income-tax Act, in sub-section (3), with effect from the 1st day of July, 1995,

(a) in clause (i), the following proviso shall be inserted at the end, namely:

Provided that in respect of the income credited or paid in respect of time deposits with a banking company to which the Banking Regulation Act, 1949 (10 of 1949), applies (including any bank or banking institution referred to in Section 51 of that Act) or with a co-operative society engaged in carrying on the business of banking, the provisions of this clause shall have effect as if for the words two thousand five hundred rupees , the words ten thousand rupees had been substituted and the aforesaid amount shall be computed with reference to the income credited or paid by a branch of the banking company or the co-operative society, as the case may be; ;

(b) for clause (vii), the following clauses shall be substituted, namely:

(vii) to such income credited or paid in respect of deposits (other than time deposits made on or after the 1st day of July, 1995) with a banking company to which the Banking Regulation Act, 1949 (10 of 1949), applies (including any bank or banking institution referred to in Section 51 of that Act);

(vii-a) to such income credited or paid in respect of,

(a) deposits with a primary agricultural credit society or a primary credit society or a co-operative land mortgage bank or a co-operative land development bank;

(b) deposits (other than time deposits made on or after the 1st day of July, 1995) with a co-operative society, other than a co-operative society or bank referred to in sub-clause (a), engaged in carrying on the business of banking; ;

(c) The following Explanation shall be inserted at the end, namely:

Explanation. For the purposes of clauses (i), (vii) and (vii-a), time deposits means deposits (excluding recurring deposits) repayable on the expiry of fixed periods. .

In Section 194-C of the Income-tax Act, with effect from the 1st day of July, 1995,

(i) in sub-section (1),

(a) in clause (i), for the words and figures University Grants Commission Act, 1956 (3 of 1956) , the words and figures University Grants Commission Act, 1956 (3 of 1956); or shall be substituted;

(b) after clause (i), the following clause shall be inserted, namely:

(j) any firm, ;

(c) for the words deduct an amount equal to two per cent. of such sum as income-tax on income comprised therein , the following shall be substituted, namely:

deducted an amount equal to

(i) one per cent. in case of advertising,

(ii) in any other case two per cent.,

of such sum as income-tax on income comprised therein; ;

(ii) below sub-section (2), after Explanation II, the following Explanation shall be inserted, namely:

Explanation III. For the purposes of this section, the expression work shall also include

(a) advertising;

(b) broadcasting and telecasting including production of programmes for such broadcasting or telecasting;

(c) carriage of goods and passengers by any mode of transport other than by railways;

(d) catering. ;

(iii) in sub-section (3), in clause (i), for the words ten thousand rupees , the words twenty thousand rupees shall be substituted.

In Section 194-I of the Income-tax Act, in the opening portion, for the words deduct income-tax thereon at the rate of twenty per cent. , the following shall be substituted with effect from the 1st day of July, 1995, namely:

deduct income-tax thereon at the rate of

(a) fifteen per cent., if the payee is an individual or a Hindu undivided family; and

(b) twenty per cent., in other cases .

After Section 194-I of the Income-tax Act, the following sections shall be inserted with effect from the 1st day of July, 1995, namely:

194-J. Fees for professional or technical services. (1) Any person, not being an individual or a Hindu undivided family, who is responsible for paying to a resident any sum by way of

(a) fees for professional services, or

(b) fees for technical services,

shall, at the time of credit of such sum to the account of the payee or at the time of payment thereof in cash or by issue of a cheque or draft or by any other mode, whichever is earlier, deduct an amount equal to five per cent. of such sum as income-tax on income comprised therein:

Provided that no deduction shall be made under this section

(A) from any sums as aforesaid credited or paid before the 1st day of July, 1995; or

(B) where the amount of such sum or, as the case may be, the aggregate of the amounts of such sums credited or paid or likely to be credited or paid during the financial year by the aforesaid person to the account of, or to, the payee, does not exceed

(i) twenty thousand rupees, in the case of fees for professional services referred to in clause (a), or

(ii) twenty thousand rupees, in the case of fees for technical services referred to in clause (b).

(2) Where the Assessing Officer is satisfied that the total income of any person in receipt of the sum referred to in sub-section (1) justifies the deduction of income-tax at any lower rate or no deduction of income-tax, as the case may be, the Assessing Officer shall, on an application made by that person in this behalf, give to him such certificate as may be appropriate.

(3) Where any such certificate is given, the person responsible for paying the sum referred to in sub-section (1) shall, until such certificate is cancelled by the Assessing Officer, deduct income-tax at the rates specified in such certificate or deduct no tax, as the case may be.

Explanation. For the purposes of this section,

(a) professional services means services rendered by a person in the course of carrying on legal, medical, engineering or architectural profession or the profession of accountancy or technical consultancy or interior decoration or advertising or such other profession as is notified by the Board for the purposes of Section 44-AA or of this section;

(b) fees for technical services shall have the same meaning as in Explanation 2 to clause (vii) of sub-section (1) of Section 9;

(c) where any sum referred to in sub-section (1) is credited to any account, whether called Suspense account or by any other name, in the books of account of the person liable to pay such sum, such crediting shall be deemed to be credit of such sum to the account of the payee and the provisions of this section shall apply accordingly.

194-K. Income in respect of units. (1) Where any income is payable to a resident in respect of units of a Mutual Fund specified under clause (23-D) of Section 10 or of the Unit Trust of India the person responsible for making the payment shall, at the time of credit of such income to the account of the payee or at the time of payment thereof in cash or by issue of a cheque or draft or by any other mode, whichever is earlier, deduct income-tax thereon at the rate of,

(a) twenty per cent., if the payee is a company, and

(b) fifteen per cent., in the case of other payees.

(2) The provisions of sub-section (1) shall not apply

(i) where the amount of such income or, as the case may be, the aggregate of the amounts of such income credited or paid or likely to be credited or paid during the financial year by the person responsible for making the payment to the account of, or to, the payee does not exceed ten thousand rupees:

Provided that the amount of ten thousand rupees shall be computed with reference to the income credited or paid,

(a) in respect of a branch office of the Mutual Fund or of the Unit Trust of India, as the case may be, and

(b) under a particular scheme under which the units have been issued;

(ii) to such income credited or paid before the 1st day of July, 1995;

(iii) to such income credited or paid in respect of units issued under such scheme already in operation of the Mutual Fund or of the Unit Trust of India, as the Central Government may, by notification in the Official Gazette, specify in this behalf having regard to the plan of payment of income thereunder to the unit-holders; and

(iv) to such income credited or paid in respect of units issued under any scheme of the Unit Trust of India to any institution or fund where such income is not liable to inclusion in its total income under the provisions of Sections 11 and 12 or clause (22) or clause (22-A) or clause (23) or clause (23-AA) or clause (23-C) of Section 10.

Explanation. For the purposes of this section,

(a) Unit Trust of India means the Unit Trust of India established under the Unit Trust of India Act, 1963 (52 of 1963);

(b) where any income as aforesaid is credited to any account, whether called Suspense account or by any other name, in the books of account of the person liable to pay such income, such crediting shall be deemed to be credit of such income to the account of the payee and the provisions of this section shall apply accordingly. .

For Section 196-A of the Income-tax Act, the following section shall be substituted with effect from the 1st day of July, 1995, namely:

196-A. Income in respect of units of non-residents. (1) Any person responsible for paying to a non-resident, not being a company, or to a foreign company, any income in respect of units of a Mutual Fund specified under clause (23-D) of Section 10 or of the Unit Trust of India shall, at the time of credit of such income to the account of the payee or at the time of payment thereof in cash or by the issue of a cheque or draft or by any other mode, whichever is earlier, deduct income-tax thereon at the rate of twenty per cent.

(2) Notwithstanding anything contained in sub-section (1), no deduction of tax shall be made from any income payable in respect of units of the Unit Trust of India to a non-resident Indian or a non-resident Hindu undivided family, where the units have been acquired from the Unit Trust of India out of the funds in a Non-resident (External) Account maintained with any bank in India or by remittance of funds in foreign currency, in accordance, in either case, with the provisions of the Foreign Exchange Regulation Act, 1973 (46 of 1973), and the rules made thereunder.

Explanation. For the purposes of this section

(a) foreign currency shall have the meaning assigned to it in the Foreign Exchange Regulation Act, 1973 (46 of 1973);

(b) non-resident Indian shall have the meaning assigned to it in clause (e) of Section 115-C;

(c) Unit Trust of India means the Unit Trust of India established under the Unit Trust of India Act, 1963 (52 of 1963);

(d) where any income as aforesaid is credited to any account, whether called Suspense account or by any other name, in the books of account of the person liable to pay such income, such crediting shall be deemed to be credit of such income to the account of the payee and the provisions of this section shall apply accordingly. .

In Section 197 of the Income-tax Act, in sub-section (1), after the figures and letter 194-I , the figures and letter, 194-K shall be inserted with effect from the 1st day of July, 1995.

In Section 197-A of the Income-tax Act, for sub-section (1-A), the following sub-section shall be substituted with effect from the 1st day of July, 1995, namely:

(1-A) Notwithstanding anything contained in Section 194-A or Section 194-K, no deduction of tax shall be made under either of the said sections in the case of a person (not being a company or a firm), if such person furnishes to the person responsible for paying any income of the nature referred to in Section 194-A or Section 194-K, as the case may be, a declaration in writing in duplicate in the prescribed form and verified in the prescribed manner to the effect that the tax on his estimated total income of the previous year in which such income is to be included in computing his total income will be nil. .

In Sections 198, 199, 200, 202, 203, 203-A, 204 and 205 of the Income-tax Act, after the word, figures and letter Section 194-I, , the words, figures and letters Section 194-J, Section 194-K , shall be inserted with effect from the 1st day of July, 1995.

In Section 230-A of the Income-tax Act, in sub-section (1), for the words two lakh rupees , the words five lakh rupees shall be substituted with effect from the 1st day of July, 1995.

In Section 234-B of the Income-tax Act,

(i) in sub-section (1), for the words or regular assessment on an amount , the words and where a regular assessment is made, to the date of such regular assessment, on an amount shall be substituted and shall be deemed always to have been substituted with effect from the 1st day of April, 1989;

(ii) in sub-section (3), for the words, brackets and figure or regular assessment referred to in sub-section (1) , the words, brackets and figure and where a regular assessment is made as is referred to in sub-section (1) following the date of such regular assessment shall be substituted and shall be deemed always to have been substituted with effect from the 1st day of April, 1989.

In Section 245-C of the Income-tax Act, in sub-section (1), in the proviso, in clause (b) for the words fifty thousand rupees , the words one hundred thousand rupees shall be substituted with effect from the 1st day of July, 1995.

In Section 245-D of the Income-tax Act, in sub-section (1), for the second proviso, the following proviso shall be substituted with effect from the 1st day of July, 1995, namely:

Provided further that the Commissioner shall furnish the report within a period of forty-five days of the receipt of communication from the Settlement Commission in case of all applications made under Section 245-C on or after the 1st day of July, 1995 and if the Commissioner fails to furnish the report within the said period, the Settlement Commission may make the order without such report. .

In Section 253 of the Income-tax Act, with effect from the 1st day of July, 1995,

(i) in sub-section (1), after clause (a), the following clause shall be inserted, namely:

(b) an order passed by an Assessing Officer under clause (c) of Section 158-BC; or ;

(ii) in sub-section (3), the following proviso shall be inserted at the end, namely:

Provided that in respect of any appeal under clause (b) of sub-section (1), this sub-section shall have effect as if for the words sixty days the words thirty days had been substituted. .

In Section 269-UC of the Income-tax Act, with effect from the 1st day of July, 1995,

(i) in sub-section (1), for the words no transfer of any immovable property of such value exceeding five lakh rupees as may be prescribed , the words no transfer of any immovable property in such area and of such value exceeding five lakh rupees, as may be prescribed shall be substituted;

(ii) after sub-section (3), the following sub-section shall be inserted, namely:

(4) Where it is found that the statement referred to in sub-section (2) is defective, the appropriate authority may intimate the defect to the parties concerned and give them an opportunity to rectify the defect within a period of fifteen days from the date of such intimation or within such further period which, on an application made in this behalf, the appropriate authority may, in its discretion, allow and if the defect is not rectified within the said period of fifteen days or, as the case may be, the further period so allowed, then, notwithstanding anything contained in any other provision of this Chapter, the statement shall be deemed never to have been furnished. .

In Section 269-UD of the Income-tax Act, with effect from the 1st day of July, 1995, in sub-section (1), after the second proviso, the following proviso shall be inserted, namely:

Provided also that the period of limitation referred to in the second proviso shall be reckoned, where any defect as referred to in sub-section (4) of Section 269-UC has been intimated, with reference to the date of receipt of the rectified statement by the appropriate authority: .

In Section 271-B of the Income-tax Act, for the words, figures, letters and brackets obtain a report of such audit as required under Section 44-AB or furnish the said report along with the return of his income filed under sub-section (1) of Section 139, or along with the return of income furnished in response to a notice under clause (i) of sub-section (1) of Section 142 , the words, figures and letters furnish a report of such audit as required under Section 44-AB shall be substituted with effect from the 1st day of July, 1995.

In Section 293-A of the Income-tax Act,

(a) in sub-section (1), after the words or in regard to the whole or any part of the income of such class of persons , in the following words shall be inserted and shall be deemed always to have been inserted with effect from the 1st day of April, 1993, namely:

or in regard to the status in which such class of persons or the members thereof are to be assessed on their income from the business referred to in clause (a) of sub-section (2):

Provided that the notification for modification in respect of the status may be given effect from an assessment year beginning on or after the 1st day of April, 1993. ;

(b) for Explanation occurring at the end, the following Explanation shall be substituted and shall be deemed always to have been substituted with effect from the 1st day of April, 1993, namely:

Explanation. For the purposes of this section,

(a) mineral oil includes petroleum and natural gas;

(b) status means the category under which the assessee is assessed as individual , Hindu undivided family and so on. .

INDIRECT TAXES

Customs

In the Customs Act, 1962 (52 of 1962) (hereinafter referred to as the Customs Act), unless the context otherwise requires, references to any authority specified in column (2) of the Table below shall be substituted by the references to the authority specified in the corresponding entry in column (3) of the said Table and such consequential changes as the rules of grammar may require shall also be made:

TABLE

In Section 2 of the Customs Act,

(i) in clause (1), for the words and brackets Collector (Appeals) , the words and brackets Commissioner (Appeals) shall be substituted;

(ii) for clauses (7-A) and (8), the following clauses shall be substituted, namely:

(7-A) Commissioner (Appeals) means a person appointed to be a Commissioner of Customs (Appeals) under sub-section (1) of Section 4;

(8) Commissioner of Customs , except for the purposes of Chapter XV, includes an Additional Commissioner of Customs; .

For Sections 3 and 4 of the Customs Act, the following sections shall be substituted, namely:

3. There shall be the following classes of officers of customs, namely:

(a) Chief Commissioners of Customs;

(b) Commissioner of Customs;

(c) Commissioners of Customs (Appeals);

(d) Deputy Commissioners of Customs;

(e) Assistant Commissioners of Customs; and

(f) such other class of officers of customs as may be appointed for the purposes of this Act.

4. Appointment of officers of customs. (1) The Central Government may appoint such persons as it thinks fit to be officers of customs.

(2) Without prejudice to the provisions of sub-section (1), the Central Government may authorise the Board, a Commissioner of Customs or a Deputy or Assistant Commissioner of Customs to appoint officers of customs below the rank of Assistant Commissioner of Customs. .

In Section 20 of the Customs Act, the provisions and the Explanations shall be omitted.

In Section 27 of the Customs Act, in sub-section (1), for the words in such form , the words in such form and manner shall be substituted.

After Section 27 of the Customs Act, the following section shall be inserted, namely:

27-A. Interest on delayed refunds. If any duty ordered to be refunded under sub-section (2) of Section 27 to an applicant is not refunded within three months from the date of receipt of application under sub-section (1) of that section, there shall be paid to that applicant interest at such rate, not below ten per cent. and not exceeding thirty per cent. per annum as is for the time being fixed by the Board, on such duty from the date immediately after the expiry of three months from the date of receipt of such application till the date of refund of such duty:

Provided that where any duty, ordered to be refunded under sub-section (2) of Section 27 in respect of an application under sub-section (1) of that section made before the date on which the Finance Bill, 1995 receives the assent of the President, is not refunded within three months from such date, there shall be paid to the applicant interest under this section from the date immediately after three months from such date, till the date of refund of such duty.

Explanation. Where any order of refund is made by the Commissioner (Appeals), Appellate Tribunal or any court against an order of the Assistant Commissioner of Customs under sub-section (2) of Section 27, the order passed by the Commissioner (Appeals), Appellate Tribunal or, as the case may be, by the court shall be deemed to be an order passed under that sub-section for the purposes of this section. .

For Section 28 of the Customs Act, the following section shall be substituted, namely:

28. Notice for payment of duties, interest etc. (1) When any duty has not been levied or has been short-levied or erroneously refunded, or when any interest payable has not been paid, part paid or erroneously refunded, the proper officer may,

(a) in the case of any import made by any individual for his personal use or by Government or by any educational, research or charitable institution or hospital, within one year;

(b) in any other case, within six months,

from the relevant date, serve notice on the person chargeable with the duty or interest which has not been levied or charged or which has been so short-levied or part paid or to whom the refund has erroneously been made, requiring him to show cause why he should not pay the amount specified in the notice:

Provided that where any duty has not been levied or has been short-levied or the interest has not been charged or has been part paid or the duty or interest has been erroneously refunded by reason of collusion or any wilful misstatement or suppression of facts by the importer or the exporter or the agent or employee of the importer or exporter, the provisions of this sub-section shall have effect as if for the words one year and six months , the words five years were substituted.

Explanation. Where the service of the notice is stayed by an order of a court, the period of such stay shall be excluded in computing the aforesaid period of one year or six months or five years, as the case may be.

(2) The proper officer, after considering the representation, if any, made by the person on whom notice is served under sub-section (1), shall determine the amount of duty or interest due from such person (not being in excess of the amount specified in the notice) and thereupon such person shall pay the amount so determined.

(3) For the purposes of sub-section (1), the expression relevant date means,

(a) in a case where duty is not levied, or interest is not charged, the date on which the proper officer makes an order for the clearance of the goods;

(b) in a case where duty is provisionally assessed under Section 18, the date of adjustment of duty after the final assessment thereof;

(c) in a case where duty or interest has been erroneously refunded, the date of refund;

(d) in any other case, the date of payment of duty or interest. .

After Section 28-A of the Customs Act, the following section shall be inserted, namely:

28-AA. Interest on delayed payment of duty. Where a person, chargeable with the duty determined under sub-section (2) of Section 28, fails to pay such duty within three months from the date of such determination, he shall pay, in addition to the duty, interest at such rate not below ten per cent. and not exceeding thirty per cent. per annum, as is for the time being fixed by the Board, on such duty from the date immediately after the expiry of the said period of three months till the date of payment of such duty:

Provided that where a person, chargeable with duty determined under sub-section (2) of Section 28 before the date on which the Finance Bill, 1995 receives the assent of the President, fails to pay such duty within three months from such date, then, such person shall be liable to pay interest under this section from the date immediately after three months from such date, till the date of payment of such duty.

Explanation 1. Where the duty determined to be payable is reduced by the Commissioner (Appeals), Appellate Tribunal or, as the case may be, the court, the date of such determination shall be the date on which an amount of duty is first determined to be payable.

Explanation 2. Where the duty determined to be payable is increased or further increased by the Commissioner (Appeals), Appellate Tribunal or, as the case may be, the court, the date of such determination shall be,

(a) for the amount of duty first determined to be payable, the date on which the duty is so determined;

(b) for the amount of increased duty, the date of order by which the increased amount of duty is first determined to be payable;

(c) for the amount of further increase of duty, the date of order on which the duty is so further increased. .

In Section 45 of the Customs Act, after sub-section (2), the following sub-section shall be inserted, namely:

(3) Notwithstanding anything contained in any law for the time being in force, if any imported goods are pilferred after unloading thereof in a customs area while in the custody of a person referred to in sub-section (1), that person shall be liable to pay duty on such goods at the rate prevailing on the date of delivery of an import manifest or, as the case may be, an import report to the proper officer under Section 30 for the arrival of the conveyance in which the said goods were carried. .

In Section 47 of the Customs Act, in sub-section (2),

(a) for the words twenty per cent. , the words ten per cent. , shall be substituted;

(b) after the proviso, the following proviso shall be inserted, namely:

Provided further that if the Board is satisfied that it is necessary in the public interest so to do, it may, by order for reasons to be recorded, waive the whole or part of any interest payable under this section. .

In Section 74 of the Customs Act, for sub-section (3), the following sub-section shall be substituted, namely:

(3) The Central Government may make rules for the purpose of carrying out the provisions of this section and, in particular, such rules may

(a) provide for the manner in which the identity of goods imported in different consignments which are ordinarily stored together in bulk, may be established;

(b) specify the goods which shall be deemed to be not capable of being easily identified; and

(c) provide for the manner and the time within which a claim for payment of drawback is to be filed. .

In Section 75 of the Customs Act,

(a) in sub-section (1),

(i) for the words manufactured in India , the words manufactured, processed or on which any operation has been carried out in India shall be substituted;

(ii) for the words manufacture of such goods wherever they occur, the words manufacture or processing of such goods or carrying out any operation on such goods shall be substituted;

(b) in sub-section (1-A), for the words manufactured in India , the words manufactured, processed or on which any operation has been carried out in India shall be substituted;

(c) in sub-section (2),

(i) for clause (a), the following clause shall be substituted, namely:

(a) for the payment of drawback equal to the amount of duty actually paid on the imported materials used in the manufacture or processing of the goods carrying out any operation on the goods or as is specified in the rules as the average amount of duty paid on the materials of that class or description used in the manufacture or processing of export goods or carrying out any operation on export goods of that class or description either by manufacturers generally or by persons processing or carrying on any operation generally or by any particular manufacturer or particular person carrying on any process or other operation, and interest, if any, payable thereon, ,

(ii) in clause (ab), after the word, brackets and figure sub-section (1) , the words or interest chargeable thereon shall be inserted;

(iii) in clause (c),

(a) for the word manufacturer , the words manufacturer or the person carrying on any process or other operation shall be substituted;

(b) for the word manufacture , the words manufacture, process or any other operations carried out shall be substituted;

(iv) after clause (c), the following clause shall be inserted, namely:

(d) for the manner and the time within which the claim for payment of drawback may be filed; ;

(d) after sub-section (2), the following sub-section shall be inserted, namely:

(3) The power to make rules conferred by sub-section (2) shall include the power to give drawback with retrospective effect from a date not earlier than the date of changes in the rates of duty on inputs used in the export goods. .

After Section 75 of the Customs Act, the following section shall be inserted, namely:

75-A. Interest on drawback. (1) Where any drawback payable to a claimant under Section 74 or Section 75 is not paid within a period of three months from the date of filing a claim for payment of such drawback, there shall be paid to that claimant in addition to the amount of drawback, interest at the rate fixed under Section 27-A from the date after the expiry of the said period of three months till the date of payment of such drawback:

Provided that where any drawback, ordered to be paid under Section 74 or Section 75 in respect of a claim under any of the said sections filed before the date on which the Finance Bill, 1995 receives the assent of the President, is not refunded within three months from such date, there shall be paid to the applicant interest under this section from the date immediately after three months from such date, till the date of refund of such drawback.

(2) Where any drawback has been paid to the claimant erroneously, the claimant shall, within a period of three months from the date of demand, pay in addition to the said amount of drawback, interest at the rate fixed under Section 28-AA from the date after the expiry of the said period of three months till the date of recovery of such drawback. .

In Section 80 of the Customs Act, after the words on his leaving India , the words and if for any reason, the passenger is not able to collect the article at the time of his leaving India, the article may be returned to him through any other passenger authorised by him and leaving India or as cargo consigned in his name shall be inserted.

After Section 98 of the Customs Act, the following section shall be inserted, namely:

98-A. Power to relax. If the Central Government is satisfied that it is necessary in the public interest so to do it may, by notification in the Official Gazette, exempt generally, either absolutely or subject to such conditions as may be specified in the notification, coastal goods or vessels carrying coastal goods from all or any of the provisions of this Chapter. .

In Section 129-C of the Customs Act,

(a) in sub-section (2), for the words, brackets and figures sub-sections (3) and (4) , the word, brackets and figure sub-section (4) shall be substituted;

(b) sub-section (3) shall be omitted.

In Section 142 of the Customs Act, in sub-section (1),

(a) in the opening portion, for the words Where any duty demanded from any person or any amount of drawback to be recovered from any person or any penalty payable by any person , the words Where any sum payable by any person shall be substituted;

(b) for clause (c), the following clause shall be substituted, namely:

(c) if the amount cannot be recovered from such person in the manner provided in clause (a) or clause (b)

(i) the Assistant Commissioner of Customs may prepare a certificate signed by him specifying the amount due from such person and send it to the Collector of the district in which such person owns any property or resides or carries on his business and the said Collector on receipt of such certificate shall proceed to recover from such person the amount specified thereunder as if it were an arrears of land revenue; or

(ii) the proper officer may, on an authorisation by a Commissioner of Customs and in accordance with the rules made in this behalf, distrain any movable or immovable property belonging to or under the control of such person, and detain the same until the amount payable is paid; and in case, any part of the said amount payable or of the cost of the distress or keeping of the property, remains unpaid for a period of thirty days next after any such distress, may cause the said property to be sold and with the proceeds of such sale, may satisfy the amount payable and the costs including cost of sale remaining unpaid and shall render the surplus, if any, to such person. .

In Section 157 of the Customs Act, in sub-section (2), in clause (aa) for the word form , the words form and manner shall be substituted.

For Section 159 of the Customs Act, the following section shall be substituted, namely:

159. Rules, certain notifications and orders to be laid before Parliament. Every rule or regulation made under this Act, every notification issued under Sections 11, 11-B, 11-H, 11-I, 11-K, 11-N, 14, 25, 28-A, 43, 66, 69, 70, 74, 75, 76, 98, 98-A, 101 and 123 and every order made under sub-section (2) of Section 25, other than an order relating to goods of strategic, secret, individual or personal nature, shall be laid, as soon as may be after it is made or issued, before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session, or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the rule or regulation or notification or order, or both Houses agree that the rule or regulation should not be made or notification or order should not be issued or made, the rule or regulation or notification or order shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule or regulation or notification or order. .

The Customs Tariff Act, 1975 (hereinafter referred to as the Customs Tariff Act),

(a) shall be amended in the manner specified in the Second Schedule; and

(b) shall, with effect from such date as the Central Government may, by notification in the Official Gazette, appoint, be also amended in the manner specified in the Third Schedule.

Excise

In the Central Excises and Salt Act, 1944 (1 of 1944) (hereinafter referred to as the Central Excises Act), unless the context otherwise requires, the references to any authority or authorities specified in column (2) of the Table below shall be substituted by the references to the authority or authorities specified in the corresponding entry in column (3) of the said Table and such consequential changes as the rules of grammar may require shall also be made:

TABLE

In Section 2 of the Central Excises Act, for clause (b), the following clause shall be substituted, namely:

(b) Central Excise Officer means the Chief Commissioner of Central Excise, Commissioner of Central Excise, Commissioner of Central Excise (Appeals), Additional Commissioner of Central Excise, Deputy Commissioner of Central Excise, Assistant Commissioner of Central Excise or any other officer of the Central Excise Department, or any person (including an officer of the State Government) invested by the Central Board of Excise and Customs constituted under the Central Boards of Revenue Act, 1963 (54 of 1963) with any of the powers of a Central Excise Officer under this Act. .

In Section 11-A of the Central Excises Act, in sub-section (3), in clause (ii), for sub-section (a) the following sub-clause shall be substituted, namely:

(a) in the case of excisable goods on which duty of excise has not been levied or paid or has been short-levied or short-paid

(A) where under the rules made under this Act a periodical return, showing particulars of the duty paid on the excisable goods removed during the period to which the said return relates, is to be filed by a manufacturer or a producer or a licensee of a warehouse, as the case may be, the date on which such return is so filed;

(B) where no periodical return as aforesaid is filed, the last date on which such return is to be filed under the said rules;

(C) in any other case, the date on which the duty is to be paid under this Act or the rules made thereunder; .

After Section 11-A of the Central Excises Act, the following section shall be inserted, namely:

11-AA. Interest on delayed payment of duty. Where a person, chargeable with duty determined under sub-section (2) of Section 11-A, fails to pay such duty within three months from the date of determination, he shall pay, in addition to the duty, interest at such rate not below ten per cent. and not exceeding thirty per cent. per annum as is for the time being fixed by the Board, on such duty from the date immediately after the expiry of the said period of three months till the date of payment of such duty:

Provided that where a person chargeable with duty determined under sub-section (2) of Section 11-A before the date on which the Finance Bill, 1995 receives the assent of the President, fails to pay such duty within three months from such date, then, such person shall be liable to pay interest under this section from the date immediately after three months from such date, till the date of payment of such duty.

Explanation 1. Where the duty determined to be payable is reduced by the Commissioner (Appeals), Appellate Tribunal or, as the case may be, the court, the date of such determination shall be the date on which an amount of duty is first determined to be payable.

Explanation 2. Where the duty determined to be payable is increased or further increased by the Commissioner (Appeals), Appellate Tribunal or, as the case may be, the court, the date of such determination shall be,

(a) for the amount of duty first determined to be payable, the date on which the duty is so determined;

(b) for the amount of increased duty, the date of order by which the increased amount of duty is first determined to be payable;

(c) for the amount of further increase of duty, the date of order on which the duty is so further increased. .

In Section 11-B of the Central Excises Act, in sub-section (1), for the words in such form , the words in such form and manner shall be substituted.

After Section 11-B of the Central Excises Act, the following shall be inserted, namely:

11-BB. Interest on delayed refunds. If any duty ordered to be refunded under sub-section (2) of Section 11-B to any applicant is not refunded within three months from the date of receipt of application under sub-section (1) of that section, there shall be paid to that applicant interest at such rate, not below ten per cent. and not exceeding thirty per cent. per annum as is for the time being fixed by the Board, on such duty from the date immediately after the expiry of three months from the date of receipt of such application till the date of refund of such duty:

Provided that where any duty ordered to be refunded under sub-section (2) of Section 11-B in respect of an application under sub-section (1) of that section made before the date on which the Finance Bill, 1995 receives the assent of the President, is not refunded within three months from such date, there shall be paid to the applicant interest under this section from the date immediately after three months from such date, till the date of refund of such duty.

Explanation. Where any order of refund is made by the Commissioner (Appeals), Appellate Tribunal or any court against an order of the Assistant Commissioner of Central Excise, under sub-section (2) of Section 11-B, the order passed by the Commissioner (Appeals), Appellate Tribunal or, as the case may be, by the court shall be deemed to be an order passed under the said sub-section (2) for the purposes of this section. .

After Section 14 of the Central Excises Act, the following section shall be inserted, namely:

14-A. Special audit in certain cases. (1) If at any stage of enquiry, investigation or any other proceedings before him, any Central Excise Officer not below the rank of an Assistant Commissioner of Central Excise, having regard to the nature and complexity of the case and the interest of revenue, is of the opinion that the value has not been correctly declared or determined by a manufacturer or any person, he may, with the previous approval of the Chief Commissioner of Central Excise, direct such manufacturer or such person to get the accounts of his factory, office, depots, distributors or any other place, as may be specified by the said Central Excise Officer, audited by a cost accountant, nominated by the Chief Commissioner of Central Excise in this behalf.

(2) The cost accountant, so nominated shall, within the period specified by the Central Excise Officer, submit a report of such audit duly signed and certified by him to the said Central Excise Officer mentioning therein such other particulars as may be specified:

Provided that the Central Excise Officer may, on an application made to him in this behalf by the manufacturer or the person and for any material and sufficient reason, extend the said period by such further period or periods as he thinks fit; so, however, that the aggregate of the period originally fixed and the period or periods so extended shall not, in any case, exceed one hundred and eighty days from the date on which the direction under sub-section (1) is received by the manufacturer or the person.

(3) The provisions of sub-section (1) shall have effect notwithstanding that the accounts of the manufacturer or person aforesaid have been audited under any other law for the time being in force or otherwise.

(4) The expenses of, and incidental to, such audit (including the remuneration of the cost accountant) shall be determined by the Chief Commissioner of Central Excise (which determination shall be final) and paid by the manufacturer or person and in default of such payment, shall be recoverable from the manufacturer or the person in the manner provided in Section 11 for the recovery of sums due to the Government.

(5) The manufacturer or the person shall be given an opportunity of being heard in respect of any material gathered on the basis of audit under sub-section (1) and proposed to be utilised in any proceedings under this Act or rules made thereunder.

Explanation. For the purpose of this section, cost accountant shall have the meaning assigned to it in clause (b) of sub-section (1) of Section 2 of the Cost and Works Accountants Act, 1959 (23 of 1959).

In Section 35-D of the Central Excises Act, sub-section (2) shall be omitted.

In Section 37 of the Central Excises Act,

(a) in sub-section (2),

(i) in clause (xvi), after the words outside India , the words including interest thereon shall be inserted;

(ii) after clause (xvi-b), the following clause shall be inserted, namely:

(xvi-c) provide for charging and payment of interest as the case may be, on credit of duty paid or deemed to have been paid on the goods used in, or in relation to, the manufacture of excisable goods where such credit is varied subsequently; ;

(iii) in clause (xxiii), for the word form , the words form and manner shall be substituted;

(b) after sub-section (2), the following sub-section shall be inserted, namely:

(2-A) The power to make rules conferred by clause (xvi) of sub-section (2) shall include the power to give retrospective effect to rebate of duties on inputs used in the export goods from a date not earlier than the changes in the rates of duty on such inputs. .

In Section 38 of the Central Excises Act, for sub-section (2), the following sub-section shall be substituted, namely:

(2) Every rule made under the Act, every notification issued under sub-section (1) of Section 5-A and Section 11-C and every order made under sub-section (2) of Section 5-A, other than an order relating to goods of strategic, secret, individual or personal nature, shall be laid, as soon as may be after it is made or issued, before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session, or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the rule or notification or order, or both Houses agree that the rule should not be made or notification or order should not be issued or made, the rule or notification or order shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule or notification or order. .

The Central Excise Tariff Act, 1985 (hereinafter referred to as the Central Excise Tariff Act) shall be amended in the manner specified in the Fourth Schedule.

The Additional Duties of Excise (Goods of Special Importance) Act, 1957 (hereinafter referred to as the Additional Duties of Excise Act) shall be amended in the manner specified in the Fifth Schedule.

MISCELLANEOUS

In the Coasting Vessels Act, 1838, for the expression Collector of Sea Customs , the expression Commissioner of Customs shall be substituted.

In the Drugs and Cosmetics Act, 1940, for the expression Customs Collector , the expression Commissioner of Customs shall be substituted.

In the Agricultural Produce Cess Act, 1940,

(i) in Section 2, for clause (a), the following clause shall be substituted, namely:

(a) Commissioner means a Commissioner of Customs as defined in clause (8) of Section 2 of the Customs Act, 1962 (52 of 1962); ;

(ii) for the expression Collector , wherever it occurs, the expression Commissioner shall be substituted.

In the Coffee Act, 1942,

(i) in Section 3, for clause (c), the following clause shall be substituted, namely:

(c) Commissioner means the Commissioner of Customs as specified in clause (b) of Section 3 of the Customs Act, 1962 (52 of 1962); ;

(ii) for the expression Collector , wherever it occurs, the expression Commissioner shall be substituted.

In the Tea Act, 1953,

(i) in Section 3, for clause (d), the following clause shall be substituted, namely:

(d) Commissioner means a Commissioner of Customs as specified in clause (b) of Section 3 of the Customs Act, 1962 (52 of 1962); ;

(ii) for the expression Customs Collector , wherever it occurs, the expression Commissioner of Customs shall be substituted.

In the Prevention of Food Adulteration Act, 1954, for the expression Customs Collector , wherever it occurs, the expression Commissioner of Customs shall be substituted.

In the Trade and Merchandise Marks Act, 1958, for the expression Chief Customs Officer , the expression Commissioner of Customs shall be substituted.

In the Arms Act, 1959, for the expression Collector of Customs , wherever it occurs, the expression Commissioner of Customs shall be substituted.

In the Unit Trust of India Act, 1963, in Section 32, in sub-section (2), clauses (b) and (c) and the proviso shall be omitted with effect from the 1st day of July, 1995.

In the Foreign Exchange Regulation Act, 1973, for the expressions Collector of Customs and Collector , wherever they occur, the expression Commissioner of Customs shall be substituted.

The Compulsory Deposit Scheme (Income-tax Payers) Act, 1974 shall, as from the 1st day of April, 1996, stand repealed.

(See Section 2)

8[Part I

INCOME-TAX

In the case of every individual or Hindu undivided family or association of persons or body of individuals, whether incorporated or not, or every artificial juridical person referred to in sub-clause (vii) of clause (31) of Section 2 of the Income-tax Act, not being a case to which Sub-Paragraph II of this Paragraph or any other Paragraph of this Part applies,

In the case of every Hindu undivided family which at any time during the previous year has at least one member whose total income of the previous year relevant to the assessment year commencing on the 1st day of April, 1996 exceeds Rs. 40,000,

In the case of every co-operative society,

In the case of every firm,

On the whole of the total income40 per cent.

In the case of every local authority,

On the whole of the total income30 per cent.

In the case of a company,

The amount of income-tax computed in accordance with the provisions of this Paragraph or Sections 112 and 113 of the Income-tax Act shall, in the case of every domestic company having a total income exceeding seventy-five thousand rupees, be increased by a surcharge calculated at the rate of fifteen per cent. of such income-tax.]

RATES FOR DEDUCTION OF TAX AT SOURCE IN CERTAIN CASES

In every case in which under the provisions of Sections 193, 194, 194-A, 194-B, 194-BB, 194-D and 195 of the Income-tax Act, tax is to be deducted at the rates in force, deduction shall be made from the income subject to the deduction at the following rates:

Explanation. For the purpose of item 1(b)(i) of this Part investment income and non-resident Indian shall have the meanings assigned to them in Chapter XII-A of the Income-tax Act.

The amount of income-tax deducted in accordance with the provisions of sub-item (a) of Item 2 of this Part shall be increased by a surcharge, calculated at the rate of fifteen per cent. of such income-tax.

RATES FOR CALCULATING OR CHARGING INCOME-TAX IN CERTAIN CASES, DEDUCTING INCOME-TAX FROM INCOME CHARGEABLE UNDER THE HEAD SALARIES AND COMPUTING ADVANCE TAX

In cases in which income-tax has to be calculated under the first proviso to sub-section (5) of Section 132 of the Income-tax Act or charged under sub-section (4) of Section 172 or sub-section (2) of Section 174 or Section 175 or sub-section (2) of Section 176 of the said Act or deducted under Section 192 of the said Act from income chargeable under the head Salaries or in which the advance tax payable under Chapter XVII-C of the said Act has to be computed at the rate or rates in force, such income-tax or, as the case may be advance-tax [not being advance-tax in respect of any income chargeable to tax under Chapter XII or Chapter XII-A or sub-section (1-A) of Section 161 or Section 164 or Section 164-A or Section 167-B of the Income-tax Act at the rates as specified in that Chapter or section or surcharge on such advance tax in respect of any income chargeable to tax under Section 115-B], shall be calculated, charged, deducted or computed at the following rate or rates:

In the case of every individual or Hindu undivided family or association of persons or body of individuals, whether incorporated or not, or every artificial juridical person referred to in sub-clause (vii) of clause (31) of Section 2 of the Income-tax Act, not being a case to which Sub-Paragraph II of this Paragraph or any other Paragraph of this Part applies,

In the case of every Hindu undivided family which at any time during the previous year has at least one member whose total income of the previous year relevant to the assessment year commencing on the 1st day of April, 9[1997] exceeds Rs. 40,000,

In the case of every co-operative society,

In the case of every firm,

On the whole of the total income40 per cent.

In the case of every local authority

On the whole of the total income30 per cent.

In the case of a company,

The amount of income-tax computed in accordance with the provisions of this Paragraph or Sections 112 and 113 shall, in the case of every domestic company having a total income exceeding seventy-five thousand rupees, be increased by a surcharge calculated at the rate of fifteen per cent. of such income-tax.

[See Section 2(9)(d)]

RULES FOR COMPUTATION OF NET AGRICULTURAL INCOME

Rule 1. Agricultural income of the nature referred to in sub-clause (a) of clause (1-A) of Section 2 of the Income-tax Act shall be computed as if it were income chargeable to income-tax under that Act under the head Income from other sources and the provisions of Sections 57 to 59 of that Act shall, so far as may be, apply accordingly:

Provided that sub-section (2) of Section 58 shall apply subject to the modification that the reference to Section 40-A therein shall be constituted as not including a reference to sub-sections (3) and (4) of Section 40-A.

Rule 2. Agricultural income of the nature referred to in sub-clause (b) or sub-clause (c) of clause (1-A) of Section 2 of the Income-tax Act [other than income derived from any building required as a dwelling house by the receiver of the rent or revenue of the cultivator or the receiver of rent-in-kind referred to in the said sub-clause (c)] shall be computed as if it were income chargeable to income-tax under that Act under the head Profits and gains of business or profession and the provisions of Sections 30, 31, 32, 36, 37, 38, 40, 40-A [other than sub-sections (3) and (4) thereof], 41, 43, 43-A, 43-B and 43-C of the Income-tax Act, shall, so far as may be, apply accordingly.

Rule 3. Agricultural income of the nature referred to in sub-clause (c) of clause (1-A) of Section 2 of the Income-tax Act, being income derived from any building required as a dwelling house by the receiver of the rent or revenue or the cultivator or the receiver of rent-in-kind referred to in the said sub-clause (c) shall be computed as if it were income chargeable to income-tax under that Act under the head Income from house property and the provisions of Sections 23 to 27 of that Act shall, so far as may be, apply accordingly.

Rule 4. Notwithstanding anything contained in any other provisions of these rules, in a case where the assessee derives income from sale of tea grown and manufactured by him in India, such income shall be computed in accordance with Rule 8 of the Income Tax Rules, 1962, and sixty per cent. of such income shall be regarded as the agricultural income of the assessee.

Rule 5. Where the assessee is a member of an association of persons or a body of individuals (other than a Hindu undivided family, a company or a firm) which in the previous year has either no income chargeable to tax under the Income-tax Act or has total income not exceeding the maximum amount not chargeable to tax in the case of an association of persons or a body of individuals (other than a Hindu undivided family, a company or a firm) but has any agricultural income, then, the agricultural income or loss of the association or body shall be computed in accordance with these rules and the share of the assessee in the agricultural income or loss computed shall be regarded as the agricultural income or loss of the assessee.

Rule 6. Where the result of the computation for the previous year in respect of any source of agricultural income is a loss, such loss shall be set off against the income of the assessee, if any, for that previous year from any other source of agricultural income:

Provided that where the assessee is a member of an association of persons or a body of individuals and the share of the assessee in the agricultural income of the association or body, as the case may be, is a loss, such loss shall not be set off against any income of the assessee from any other source of agricultural income.

Rule 7. Any sum payable by the assessee on account of any tax levied by the State Government on the agricultural income shall be deducted in computing the agricultural income.

Rule 8. 10[(1) Where the assessee has, in the previous year relevant to the assessment year commencing on the 1st day of April, 1996, any agricultural income and the net result of the computation of the agricultural income of the assessee for any one or more of the previous years relevant to the assessment years commencing on the 1st day of April, 1988 or the 1st day of April, 1989 or the 1st day of April, 1990 or the 1st day of April, 1991 or the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995, is a loss, then, for the purposes of sub-section (2) of Section 2 of this Act,

(i) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1988, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1989 or the 1st day of April, 1990 or the 1st day of April, 1991, or the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995,

(ii) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1989, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1990 or, the 1st day of April, 1991 or the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995,

(iii) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1990, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1991 or the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995,

(iv) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1991, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995,

(v) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1992, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995,

(vi) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1993, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1994 or the 1st day of April, 1995,

(vii) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1994, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1995,

(viii) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1995,

shall be set off against the agricultural income of the assessee for the previous year relevant to the assessment year commencing on the 1st day of April, 1996.

(2) Where the assessee has, in the previous year relevant to the assessment year commencing on the 1st day of April, 1997 or, if by virtue of any provision of the Income-tax Act, income-tax is to be charged in respect of the income of a period other than that previous year, in such other period, any agricultural income and the net result of the computation of the agricultural income of the assessee for any one or more of the previous years relevant to the assessment years commencing on the 1st day of April, 1989 or the 1st day of April, 1990 or the 1st day of April, 1991 or the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995, or the 1st day of April, 1996, is a loss, then, for the purposes of sub-section (8) of Section 2 of this Act,

(i) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1989, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1990 or the 1st day of April, 1991 or the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995 or the 1st day of April, 1996,

(ii) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1990, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1991 or the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995 or the 1st day of April, 1996,

(iii) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1991, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1992 or the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995 or the 1st day of April, 1996,

(iv) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1992, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1993 or the 1st day of April, 1994 or the 1st day of April, 1995 or the 1st day of April, 1996,

(v) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1993, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1994 or the 1st day of April, 1995 or the 1st day of April, 1996,

(vi) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1994, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1995 or the 1st day of April, 1996,

(vii) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1995, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 1996,

(viii) the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 1996,

shall be set off against the agricultural income of the assessee for the previous year relevant to the assessment year commencing on the 1st day of April, 1997.]

(3) Where any person deriving any agricultural income from any source has been succeeded in such capacity by another person, otherwise than by inheritance, nothing in sub-rule (1) or sub-rule (2) shall entitle any person, other than the person incurring the loss, to have it set off under sub-rule (1), or as the case may be, sub-rule (2).

11[(4) Notwithstanding anything contained in this rule, no loss which has not been determined by the Assessing Officer under the provisions of these rules or the rules contained in Part IV of the First Schedule to the Finance Act, 1988 (26 of 1988), or of the First Schedule to the Finance Act, 1989 (13 of 1989), or of the First Schedule to the Finance Act, 1990 (12 of 1990), or of the First Schedule to the Finance (No. 2) Act, 1991 (49 of 1991), or of the First Schedule to the Finance Act, 1992 (18 of 1992), or of the First Schedule to the Finance Act, 1993 (38 of 1993), or of the First Schedule to the Finance Act, 1994 (32 of 1994), or of the First Schedule to the Finance Act, 1995 (22 of 1995), shall be set off under sub-rule (1) or, as the case may be sub-rule (2).]

Rule 9. Where the net result of the computation made in accordance with these rules is a loss, the loss so computed shall be ignored and the net agricultural income shall be deemed to be nil.

Rule 10. The provisions of the Income-tax Act relating to procedure for assessment (including the provisions of Section 288-A relating to rounding off of income) shall, with the necessary modifications, apply in relation to the computation of the net agricultural income of the assessee as they apply in relation to the assessment of the total income.

Rule 11. For the purposes of computing the net agricultural income of the assessee, the Assessing Officer shall have the same powers as he has under the Income-tax Act for the purposes of assessment of the total income.

[See Section 69(a)]

In the First Schedule to the Customs Tariff Act,

(1) In Chapter 1, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(2) In Chapter 4,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 0402.10 and 0402.21), the entry 40% shall be substituted;

(ii) in sub-heading Nos. 0402.10 and 0402.21, for the entry in column (4) occurring against each of them, the entry Nil shall be substituted;

(3) In Chapter 8,

(i) for the entries in column (4) and column (5) occurring against all the sub-heading Nos. (except sub-heading Nos. 0802.11, 0802.12, 0804.10, 0806.10, 0806.20 and 0809.40), the entries 50% and 40% shall respectively be substituted;

(ii) in sub-heading No. 0802.11, for the entries in column (4) and column (5), the entries Rs. 44 per kg and Rs. 39 per kg shall respectively be substituted;

(iii) in sub-heading No. 0802.12, for the entries in column (4) and column (5), the entries Rs. 80 per kg and Rs. 75 per kg shall respectively be substituted;

(iv) in sub-heading No. 0804.10, for the entries in column (4) and column (5), the entries 40% and 30% shall respectively be substituted;

(v) in sub-heading No. 0806.10, for the entries in column (4) and column (5), the entries 30% and 20% shall respectively be substituted;

(vi) in sub-heading No. 0806.20, for the entries in column (4) and column (5), the entries 135% and 125% shall respectively be substituted;

(vii) in sub-heading No. 0809.40, for the entries in column (4) and column (5), the entries 30% and 20% shall respectively be substituted;

(4) In Chapter 9,

(i) in sub-heading No. 0903.00, for the entries in column (4) and column (5), the entries 50% and 50% less 26 paise per kg shall respectively be substituted;

(ii) in sub-heading Nos. 0904.11, 0904.12, 0906.10, 0906.20, 0907.00, 0908.10 and 0908.30, for the entries in column (4) and column (5), occurring against each of them, the entries 50% and 42.5% shall respectively be substituted;

(iii) in sub-heading Nos. 0904.20, 0905.00, 0908.20, 0909.10, 0909.20, 0909.30, 0909.50, 0910.10, 0910.20, 0910.30, 0910.40, 0910.50, 0910.91 and 0910.99, for the entry in column (4) occurring against each of them, the entry 50% shall be substituted;

(iv) in sub-heading Nos. 0909.40, and 0910.40, for the entry in column (4) occurring against each of them, the entry 35% shall be substituted;

(5) In Chapter 11, in sub-heading Nos. 1107.10, 1107.20, 1108.11, 1108.12, 1108.13, 1108.14, 1108.19 and 1108.20, for the entry in column (4), occurring against each of them, the entry 30% shall be substituted;

(6) In Chapter 12,

(i) in sub-heading Nos. 1201.00, 1202.10, 1202.20, 1203.00, 1204.00, 1205.00, 1206.00, 1207.10, 1207.20, 1207.30, 1207.40, 1207.50, 1207.60, 1207.91, 1207.92 and 1207.99, for the entries in column (4) and column (5) occurring against each of them, the entries 50% and 40% shall respectively be substituted;

(ii) in sub-heading Nos. 1208.10, 1208.90, 1209.11, 1209.19, 1209.21, 1209.22, 1209.23, 1209.24, 1209.25, 1209.26, 1209.29, 1209.30, 1210.10, 1210.20, 1211.10, 1211.20, 1211.90, 1212.10, 1212.20, 1212.30, 1212.91, 1212.92, 1212.99, 1213.00, 1214.10 and 1214.90, for the entry in column (4) occurring against each of them, the entry 50% shall be substituted;

(iii) in sub-heading Nos. 1209.91 and 1209.99, for the entry in column (4), the entry 10% shall be substituted;

(7) In Chapter 13,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 1301.20), the entry 50% shall be substituted;

(ii) in sub-heading No. 1301.20, for the entries in column (4) and column (5), the entries 50% and 40% shall respectively be substituted;

(8) In Chapter 15,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 1502.00, 1507.10, 1507.90, 1508.10, 1508.90, 1509.10, 1509.90, 1510.00, 1511.10, 1511.90, 1512.11, 1512.19, 1512.21 1512.29, 1513.11, 1513.19, 1513.21, 1513.29, 1514.10, 1514.90, 1515.11, 1515.19, 1515.21, 1515.29, 1515.30, 1515.40, 1515.50, 1515.60 and 1515.90), the entry 50% shall be substituted;

(ii) in sub-heading No. 1502.00, for the entry in column (4), the entry 15% shall be substituted;

(iii) in sub-heading Nos. 1507.10, and 1507.90, for the entries in column (4) and column (5), the entries 35% and 25% shall respectively be substituted;

(iv) in sub-heading Nos. 1508.10 and 1508.90, for the entries in column (4) and column (5) occurring against each of them, the entries 50% and 40% shall respectively be substituted;

(v) in sub-heading Nos. 1509.10, 1509.90 and 1510.00, for the entries in column (4) and column (5), the entries 45% and 35% shall respectively be substituted;

(vi) in sub-heading Nos. 1511.10, 1511.90, 1512.11, 1512.19, 1512.21, 1512.29, 1513.11, 1513.19, 1513.21 and 1513.29, for the entries in column (4) and column (5) occurring against each of them, the entries 50% and 40% shall respectively be substituted;

(vii) in sub-heading Nos. 1514.10, 1514.90, for the entries in column (4) and column (5), the entries 35% and 25% shall respectively be substituted;

(viii) in sub-heading Nos. 1515.11, 1515.19, 1515.21, 1515.29, 1515.30, 1515.40, 1515.50, 1515.60 and 1515.90, for the entries in column (4) and column (5) occurring against each of them, the entries 50% and 40% shall respectively be substituted;

(9) In Chapter 16, for the entry in column (4) occurring against all the sub-heading Nos. the entry 50% shall be substituted;

(10) In Chapter 17, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 1702.10), the entry 50% shall be substituted;

(11) In Chapter 18, for the entry in column (4) occurring against all the sub-heading Nos. the entry 50% shall be substituted;

(12) In Chapter 19,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 1901.10), the entry 50% shall be substituted;

(ii) in sub-heading No. 1901.10, for the entry in column (4), the entry 15% shall be substituted;

(13) In Chapter 20, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(14) In Chapter 21, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(15) In Chapter 22,

(i) in sub-heading Nos. 2201.10, 2201.90, 2202.10, 2202.90 and 2209.00, for the entry in column (4) occurring against each of them, the entry 50% shall be substituted;

(ii) in sub-heading Nos. 2204.10, 2204.21, 2204.29, 2205.10, 2205.90, 2207.10, 2208.20, 2208.30, 2208.40, 2208.50 and 2208.90, for the entries in column (4) occurring against each of them, the entry 290% shall be substituted;

(iii) in sub-heading No. 2208.10, for the entry in column (4), the entry 200% shall be substituted;

(16) In Chapter 23,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 2301.20), the entry 50% shall be substituted;

(ii) in sub-heading No. 2301.20, for the entry in column (4), the entry 35% shall be substituted;

(17) In Chapter 24, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(18) In Chapter 25,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 2503.10, 2504.10, 2504.90, 2510.20 and 2527.00), the entry 50% shall be substituted;

(ii) in sub-heading No. 2503.10, for the entry in column (4), the entry Free shall be substituted;

(iii) in sub-heading Nos. 2504.10 and 2504.90, for the entries in column (4) and column (5), the entries 50% and 40% shall respectively be substituted;

(iv) in sub-heading No. 2510.20, for the entry in column (4), the entry 5% shall be substituted;

(v) in sub-heading No. 2527.00, for the entries in column (4) and column (5), the entries 50% and 40% shall respectively be substituted;

(19) In Chapter 26,

(i) in sub-heading Nos. 2620.11, 2620.19 and 2620.30, for the entry in column (4), occurring against each of them, the entry 35% shall be substituted;

(ii) in sub-heading Nos. 2620.20, 2620.40, 2620.50, 2620.90 and 2621.00, for the entry in column (4) occurring against each of them, the entry 10% shall be substituted;

(20) In Chapter 28, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(21) In Chapter 29,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 2917.37, 2933.71, 2936.10, 2936.21, 2936.22, 2936.23, 2936.24, 2936.25, 2936.26, 2936.27, 2936.28, 2936.29, 2936.90, 2937.10, 2937.21, 2937.22, 2937.29, 2937.91, 2937.92, 2937.99, 2939.40, 2939.50, 2941.10, 2941.20, 2941.30, 2941.40, 2941.50 and 2941.90), the entry 50% shall be substituted;

(ii) in sub-heading Nos. 2917.37, 2933.71, 2937.10, 2937.21, 2937.22, 2937.29, 2937.91, 2937.92, 2937.99, 2939.40 and 2939.50, for the entries in column (4) and column (5) occurring against each of them, the entries 50% and 40% shall respectively be substituted;

(iii) in sub-heading Nos. 2936.10, 2936.21, 2936.22, 2936.23, 2936.24, 2936.25, 2936.26, 2936.27, 2936.28, 2936.29, 2936.90, 2941.10, 2941.20, 2941.20, 2941.30, 2941.40, 2941.50, and 2941.90, for the entries in column (4) and column (5) occurring against each of them, the entries 50% and 44% shall respectively be substituted;

(22) In Chapter 30,

(i) for the entries in column (4) and column (5) occurring against all the sub-heading Nos. (except sub-heading Nos. 3005.10, 3005.90, 3006.10, 3006.20, 3006.30, 3006.40, 3006.50 and 3006.60), the entries 50% and 40% shall respectively be substituted;

(ii) in sub-heading Nos. 3005.10, 3005.90, 3006.10, 3006.20, 3006.30, 3006.40, 3006.50 and 3006.60, for the entry in column (4) occurring against each of them, the entry 50% shall be substituted;

(23) In Chapter 31,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 3102.21, 3102.50, 3104.30, 3105.20, 3105.30, 3105.40, 3105.51, 3105.59, 3105.60 and 3105.90), the entry 50% shall be substituted;

(ii) in sub-heading No. 3102.50, for the entry in column (4), the entry Free shall be substituted;

(iii) in sub-heading Nos. 3104.30, 3105.30 and 3105.40, for the entry in column (4), the entry 5% shall be substituted;

(24) In Chapter 32,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 3201.90), the entry 50% shall be substituted;

(ii) in sub-heading No. 3201.90, for the entries in column (4) and column (5), the entries 50% and 40% shall respectively be substituted;

(25) In Chapter 33, for the entry in column (4) occurring against all the sub-heading Nos. the entry 50% shall be substituted;

(26) In Chapter 34,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 3402.11, 3402.12, 3402.13 and 3402.19), the entry 50% shall be substituted;

(ii) in sub-heading Nos. 3402.11, 3402.12, 3402.13 and 3402.19, for the entries in column (4) and column (5) occurring against each of them, the entries 50% and 40% shall respectively be substituted;

(27) In Chapter 35, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(28) In Chapter 36, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(29) In Chapter 37, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(30) In Chapter 38,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 3801.10, 3802.10, 3812.10, 3815.11 and 3815.12), the entry 50% shall be substituted;

(ii) in sub-heading Nos. 3801.10, 3802.10, 3812.10, 3815.11 and 3815.12, for the entries in column (4) and column (5) occurring against each of them, the entries 50% and 40% shall respectively be substituted;

(31) In Chapter 39, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(32) In Chapter 40,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 4011.30), the entry 50% shall be substituted;

(ii) for the entry in column (4) occurring against the sub-heading No. 4011.30, the entry 3% shall be substituted;

(33) In Chapter 41,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 4108.00, 4109.00, 4110.00 and 4111.00), the entry 25% shall be substituted;

(ii) for the entry in column (4) occurring against the sub-heading Nos. 4108.00, 4109.00, 4110.00 and 4111.00, the entry 50% shall be substituted;

(34) In Chapter 42, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(35) In Chapter 43, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(36) In Chapter 44,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except 4403.10, 4403.20, 4403.31, 4403.32, 4403.33, 4403.34, 4403.35, 4403.91, 4403.92, 4403.99, 4407.92 and 4407.99), the entry 50% shall be substituted;

(ii) for the entry in column (4) occurring against the sub-heading Nos. 4403.10, 4403.20, 4403.31, 4403.32, 4403.33, 4403.34, 4403.35, 4403.91, 4403.92 and 4403.99, the entry 25% shall be substituted;

(iii) for the entry in column (4) occurring against the sub-heading Nos. 4407.92 and 4407.99, the entry 35% shall be substituted;

(37) In Chapter 45, for the entry in column (4) occurring against all the sub-heading Nos., the entry 40% shall be substituted;

(38) In Chapter 46, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(39) In Chapter 47,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 4706.10, 4706.91, 4706.92, 4706.93, 4707.10, 4707.20, 4707.30 and 4707.90), the entry 25% shall be substituted;

(ii) for the entry in column (4) occurring against the sub-heading Nos. 4706.10, 4706.91, 4706.92, 4706.93, 4707.10, 4707.20, 4707.30 and 4707.90, the entry 40% shall be substituted;

(40) In Chapter 48, for the entry in column (4) occurring against all the sub-heading Nos. the entry 50% shall be substituted;

(41) In Chapter 49, for the entry in column (4) occurring against all the sub-heading Nos. the entry 25% shall be substituted;

(42) In Chapter 50, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 5002.00), the entry 50% shall be substituted;

(43) In Chapter 51, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 5101.11, 5101.19, 5101.21, 5101.29 and 5101.30), the entry 50% shall be substituted;

(44) In Chapter 52, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 5201.00), the entry 50% shall be substituted;

(45) In Chapter 53, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(46) In Chapter 54, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(47) In Chapter 55, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(48) In Chapter 56, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(49) In Chapter 57, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(50) In Chapter 58, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(51) In Chapter 59, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(52) In Chapter 60, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(53) In Chapter 61, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(54) In Chapter 62, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(55) In Chapter 63, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(56) In Chapter 64, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(57) In Chapter 65, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(58) In Chapter 66, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(59) In Chapter 67, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(60) In Chapter 68, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(61) In Chapter 69, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(62) In Chapter 70, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(63) In Chapter 71, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(64) In Chapter 75,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 7501.10, 7501.20, 7502.10, 7502.20 and 7503.00), the entry 30% shall be substituted;

(ii) in sub-heading Nos. 7501.10, 7501.20, 7502.10, 7502.20 and 7503.00, for the entry in column (4) occurring against each of them, the entry 20% shall be substituted;

(65) In Chapter 76, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 7601.10, 7601.20 and 7602.00), the entry 40% shall be substituted;

(66) In Chapter 78, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 7801.10, 7801.91, 7801.99 and 7802.00), the entry 50% shall be substituted;

(67) In Chapter 79, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 7901.11, 7901.12, 7901.20 and 7902.00), the entry 50% shall be substituted;

(68) In Chapter 81,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 8101.10, 8101.91, 8102.10, 8102.91, 8103.10, 8104.11, 8104.19, 8104.20, 8105.10, 8106.00, 8107.10, 8108.10, 8109.10, 8110.00, 8111.00, 8112.11, 8112.20, 8112.30, 8112.40 and 8112.91), the entry 40 , shall be substituted;

(ii) in sub-heading Nos. 8101.10, 8101.91, 8102.10, 8102.91, 8103.10, 8105.10, 8106.00, 8107.10, 8108.10, 8109.10, 8110.00, 8111.00, 8112.11, 8112.20, 8112.30, 8112.40 and 8112.91, for the entry in column (4) occurring against each of them, the entry 30% shall be substituted;

(69) In Chapter 82,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 8212.10, 8212.20, 8212.90, 8213.00, 8214.10, 8214.20, 8214.90, 8215.10, 8215.20, 8215.91 and 8215.99), the entry 30% shall be substituted;

(ii) in sub-heading Nos. 8212.10, 8212.20, 8212.90, 8213.00, 8214.10, 8214.20, 8214.90, 8215.10, 8215.20, 8215.91 and 8215.99, for the entry in column (4) occurring against each of them, the entry 50% shall be substituted;

(70) In Chapter 83, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(71) In Chapter 84,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 8482.10, 8482.20, 8482.30, 8482.40, 8482.50, 8482.80, 8482.91 and 8482.99), the entry 50% shall be substituted;

(ii) in sub-heading Nos. 8482.10, 8482.20, 8482.30, 8482.40, 8482.50, 8482.80, 8482.91 and 8482.99, for the entry in column (4) occurring against each of them, the entry 50% plus Rs. 200 per kg shall be substituted;

(72) In Chapter 85, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(73) In Chapter 86, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(74) In Chapter 87, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 8710.00), the entry 50% shall be substituted;

(75) In Chapter 88,

(i) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 8802.20, 8802.30, 8802.40, 8803.10, 8803.20 and 8803.30), the entry 50% shall be substituted;

(ii) for the entry in column (4) occurring against all the sub-heading Nos. 8802.20, 8802.30, 8802.40, 8803.10, 8803.20 and 8803.30, the entry 3% shall be substituted;

(76) In Chapter 89, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 8908.00), the entry 50% shall be substituted;

(77) In Chapter 90, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 9018.11, 9018.19, 9018.20, 9018.31, 9018.32, 9018.39, 9018.41, 9018.49, 9018.50, 9018.90, 9019.10, 9019.20, 9020.00, 9021.11, 9021.19, 9021.21, 9021.29, 9021.30, 9021.40, 9021.50, 9021.90, 9022.11, 9022.21 and 9023.00), the entry 50% shall be substituted;

(78) In Chapter 91, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(79) In Chapter 92, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(80) In Chapter 93, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(81) In Chapter 94, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(82) In Chapter 95, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(83) In Chapter 96, for the entry in column (4) occurring against all the sub-heading Nos., the entry 50% shall be substituted;

(84) In Chapter 97, for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading Nos. 9704.00 and 9705.00), the entry 50% shall be substituted;

(85) In Chapter 98,

(i) in NOTE 4, after clause (b) the following clause shall be inserted, namely:

(c) Goods imported through courier service. ;

(ii) for the entry in column (4) occurring against all the sub-heading Nos. (except sub-heading No. 9803.00), the entry 50% shall be substituted;

(iii) for the entry column (4) occurring against sub-heading No. 9803.00, the entry 150% shall be substituted;

[See Section 69(b)]

In the First Schedule to the Customs Tariff Act,

(1) In Chapter 2, in heading No. 02.09, for the entry in column (3), the following entry shall be substituted, namely:

PIG FAT, FREE OF LEAN MEAT, AND POULTRY FAT, NOT RENDERED OR OTHERWISE EXTRACTED, FRESH, CHILLED, FROZEN, SALTED, IN BRINE, DRIED OR SMOKED ;

(2) In Chapter 3,

(i) in sub-heading No. 0301.91, for the entry in column (3), the following entry shall be substituted, namely:

Trout (Salmo trutta, Oncorhynchus mykiss, Oncorhynchus clarki, Oncorhynchus aguabonita, Oncorhynchus gilae, Oncorhynchus apache and Oncorhynchus chrysogaster) ;

(ii) in sub-heading No. 0302.11, for the column (3), the following entry shall be substituted, namely:

Trout (Salmo trutta, Oncorhynchus mykiss, Oncorhynchus clarki, Oncorhynchus aguabonita, Oncorhynchus gilae, Oncorhynchus apache and Oncorhynchus chrysogaster) ;

(iii) in sub-heading No. 0302.12, for the entry in column (3), the following entry shall be substituted, namely:

Pacific salmon (Oncorhynchus nerka, Oncorhynchus gorbuscha, Oncorhynchus keta, Oncorhynchus tschawytscha, Oncorhynchus kisutch, Oncorhynchus masou and Oncorhynchus rhodurus), Atlantic salmon (Salmo salar) and Danube salmon (Hucho hucho) ;

(iv) in sub-heading No. 0303.10, for the entry in column (3), the following entry shall be substituted, namely:

Pacific salmon (Oncorhynchus nerka, Oncorhynchus gorbuscha, Oncorhynchus keta, Oncorhynchus tschawytscha, Oncorhynchus kisutch, Oncorhynchus masou and Oncorhynchus rhodurus), excluding livers and roes ;

(v) in sub-heading No. 0303.21, for the entry in column (3), the following entry shall be substituted, namely:

Trout (Salmo trutta, Oncorhynchus mykiss, Oncorhynchus clarki, Oncorhynchus aguabonita, Oncorhynchus gilae, Oncorhynchus apache and Oncorhynchus chrysogaster) ;

(vi) in sub-heading No. 0305.21, for the entry in column (3), the following entry shall be substituted, namely:

Pacific salmon (Oncorhynchus nerka, Oncorhynchus gorbuscha, Oncorhynchus keta, Oncorhynchus tschawytscha, Oncorhynchus kisutch, Oncorhynchus masou and Oncorhynchus rhodurus), Atlantic salmon (Salmo salar) and Danube salmon (Hucho hucho) ;

(3) In Chapter 4,

(i) NOTES 2 and 3 shall be renumbered as NOTES 3 and 4 respectively and before NOTE 3 as so renumbered, the following NOTE shall be inserted, namely:

2. For the purposes of heading No. 04.05:

(a) The term butter means natural butter, whey butter or recombined butter (fresh, salted or rancid, including canned butter) derived exclusively from milk, with a milk fat content of 80% or more but not more than 95% by weight, a maximum milk solids-not-fat content of 2% by weight and a maximum water content of 16% by weight. Butter does not contain added emulsifiers, but may contain sodium chloride, food colours, neutralising salts and cultures of harmless lactic-acid producing bacteria.

(b) The expression dairy spreads means a spreadable emulsion of the water-in-oil type, containing milkfat as the only fat in the product, with a milkfat content of 39% or more but less than 80% by weight. ;

(ii) after NOTE 4 as so renumbered, for the SUB-HEADING NOTE, the following shall be substituted, namely:

SUB-HEADING NOTES

1. For the purposes of sub-heading No. 0404.10, the expression modified whey means products consisting of whey constituents, i.e., whey from which all or part of the lactose, proteins or minerals have been removed, whey to which natural whey constituents, have been added and obtained by mixing natural whey constituents.

2. For the purposes of sub-heading No. 0405.10, the term butter does not include dehydrated butter or ghee (sub-heading No. 0405.90). ;

(4) In Chapter 5, in heading No. 05.04, for the entry in column (3), the following entry shall be substituted, namely:

GUTS, BLADDERS AND STOMACHS OF ANIMALS (OTHER THAN FISH), WHOLE AND PIECES THEREOF, FRESH, CHILLED, FROZEN, SALTED, IN BRINE, DRIED OR SMOKED ;

(5) In Chapter 7

(i) in NOTE 3, for clauses (c) and (d), the following clauses shall be substituted, namely:

(c) flour, meal, powder, flakes, granules and pellets of potatoes (heading No. 11.05);

(d) flour, meal and powder of the dried leguminous vegetables of heading No. 07.13 (heading No. 11.06). ;

(ii) in heading No. 07.12, sub-heading No. 0712.10 and the entries relating thereto shall be omitted;

(iii) in heading No. 07.14,

(a) for the entry in column (3), the following entry shall be substituted, namely:

MANIOC, ARROWROOT, SALEP, JERUSALEM ARTICHOKES, SWEET POTATOES AND SIMILAR ROOTS AND TUBERS WITH HIGH STARCH OR INULIN CONTENT, FRESH, CHILLED, FROZEN OR DRIED, WHETHER OR NOT SLICED OR IN THE FORM OF PELLETS; SAGO PITH ;

(b) in sub-heading Nos. 0714.10, 0714.20 and 0714.90, for the entry in column (4), the entry 50% shall be substituted;

(6) In Chapter 11,

(i) in NOTE 2, in clause (A), the following shall be inserted at the end, namely:

However, germ of cereals, whole, rolled, flaked or ground is always classified in heading No. 11.04. ;

(ii) in heading No. 11.05, for the entry in column (3), the following entry shall be substituted, namely:

FLOUR, MEAL, POWDER, FLAKES, GRANULES AND PELLETS OF POTATOES ;

(iii) in sub-heading No. 1105.10, for the entry in column (3), the following entry shall be substituted, namely:

-Flour, meal and powder ;

(iv) in heading No. 11.06

(a) for the entry in column (3), the following entry shall be substituted, namely:

FLOUR, MEAL AND POWDER OF THE DIRED LEGUMINOUS VEGETABLES OF HEADING No. 07.13, OF SAGO OR OF ROOTS OR TUBERS OF HEADING No. 07.14 OR OF THE PRODUCTS OF CHAPTER 8 ;

(b) in sub-heading No. 1106.10, for the entry in column (3), the following entry shall be substituted, namely:

-Of the dried leguminous vegetables of heading No. 07.13 ;

(c) in sub-heading No. 1106.20, for the entry in column (3), the following entry shall be substituted, namely:

-Of sago or of roots or tubers of heading No. 07.14 ;

(d) in sub-heading No. 1106.30, for the entry in column (3), the following entry shall be substituted, namely:

-Of the products of Chapter 8 ;

(7) In Chapter 12, in heading No. 12.12, for the entry in column (3), the following entry shall be substituted, namely:

LOCUST BEANS, SEAWEEDS AND OTHER ALGAE, SUGAR BEET AND SUGAR CANE, FRESH, CHILLED, FROZEN OR DRIED, WHETHER OR NOT GROUND; FRUIT STONES AND KERNELS AND OTHER VEGETABLE PRODUCTS (INCLUDING UNROASTED CHICHORY ROOTS OF THE VARIETY CICHORIUMINTYBUSSATIVUM) OF A KIND USED PRIMARILY FOR HUMAN CONSUMPTION, NOT ELSEWHERE SPECIFIED OR INCLUDED ;

(8) In Chapter 13,

(i) in NOTE 1,

(a) for clause (d), the following clause shall be substituted, namely:

(d) Vegetable saps or extracts constituting alcoholic beverages (Chapter 22); ;

(b) for clause (h), the following clause shall be substituted, namely:

(h) Essential oils, concretes, absolutes, resinoids, extracted oleoresins, aqueous distillates or aqueous solutions of essential oils or preparations based on odoriferous substances of a kind used for the manufacture of beverages (Chapter 33); or ;

(ii) in heading 13.01, for the entry in column (3), the following entry shall be substituted, namely:

LAC; NATURAL GUMS, RESINS, GUM-RESINS AND OLEORESINS (FOR EXAMPLE, BALSAMS) ;

(9) In Chapter 15,

(i) in NOTE 1, in clause (e), the words in an isolated state shall be omitted;

(ii) in heading No. 15.01, for the entry in column (3), the following entry shall be substituted, namely:

PIG FAT (INCLUDING LARD) AND POULTRY FAT, OTHER THAN THAT OF HEADING No. 02.09 OR 15.03 ;

(iii) in heading No. 15.02, for the entry in column (3) the following entry shall be substituted, namely:

FATS OF BOVINE ANIMALS, SHEEP OR GOATS, OTHER THAN THOSE OF HEADING No. 15.03 ;

(iv) heading No. 15.19, sub-heading Nos. 1519.11, 1519.12, 1519.13, 1519.19 and 1519.20 and the entries relating thereto shall be omitted;

(10) In Chapter 16, in NOTE 1, for the words and figures Chapter 2 or 3 , the words and figures Chapter 2 or 3 or heading No. 05.04 shall be substituted;

(11) In Chapter 19,

(i) for NOTE 3, the following NOTE shall be substituted, namely:

3. Heading No. 19.04 does not cover preparations containing more than 6% by weight of cocoa calculated on a totally defatted basis or coated with chocolate or other food preparations containing cocoa of heading No. 18.06 (heading No. 18.06). ;

(ii) in heading No. 19.01, for the entry in column (3), the following entry shall be substituted, namely:

MALT EXTRACT; FOOD PREPARATIONS OF FLOUR, MEAL, STARCH OR MALT EXTRACT, NOT CONTAINING COCOA OR CONTAINING LESS THAN 40% BY WEIGHT OF COCOA CALCULATED ON A TOTALLY DEFATTED BASIS, NOT ELSEWHERE SPECIFIED OR INCLUDED; FOOD PREPARATIONS OF GOODS OF HEADINGS Nos. 04.01 TO 04.04, NOT CONTAINING COCOA OR CONTAINING LESS THAN 5% BY WEIGHT OF COCOA CALCULATED ON A TOTALLY DEFATTED BASIS, NOT ELSEWHERE SPECIFIED OR INCLUDED ;

(iii) in heading No. 19.04, for the entry in column (3), the following entry shall be substituted, namely:

PREPARED FOODS OBTAINED BY THE SWELLING OR ROASTING OF CEREALS OR CEREAL PRODUCTS (FOR EXAMPLE, CORN FLAKES); CEREALS [OTHER THAN MAIZE (CORN)] IN GRAIN FORM OR IN THE FORM OF FLAKES OR OTHER WORKED GRAINS (EXCEPT FLOUR AND MEAL), RECOOKED, OR OTHERWISE PREPARED, NOT ELSEWHERE SPECIFIED OR INCLUDED ;

(12) In Chapter 20,

(i) in heading No. 20.04, for the entry in column (3), the following entry shall be substituted, namely:

OTHER VEGETABLES PREPARED OR PRESERVED OTHERWISE THAN BY VINEGAR OR ACETIC ACID, NOT FROZEN, OTHER THAN PRODUCTS OF HEADING No. 20.06 ;

(ii) in heading No. 20.05,

(a) for the entry in column (3), the following entry shall be substituted, namely:

OTHER VEGETABLES PREPARED OR PRESERVED OTHERWISE THAN BY VINEGAR OR ACETIC ACID, NOT FROZEN, OTHER THAN PRODUCTS OF HEADING No. 20.06 ;

(b) sub-heading No. 2005.30 and the entries relating thereto shall be omitted;

(iii) in heading No. 20.06, for the entry in column (3), the following entry shall be substituted, namely:

VEGETABLES, FRUIT, NUTS, FRUIT-PEEL AND OTHER PARTS OF PLANTS, PRESERVED BY SUGAR (DRAINED, GLACE OR CRYSTALLISED) ;

(13) In Chapter 21,

(i) in NOTE 1, clause (f) shall be omitted and the existing clauses (g) and (h) shall be renumbered as clauses (f) and (g) respectively;

(ii) in heading No. 21.06, in sub-heading No. 2106.90, for the entry in column (4), the entry 290% shall be substituted;

(14) In Chapter 22,

(i) in heading No. 22.06, in column (3), for the words BEVERAGES NOT ELSEWHERE , the words BEVERAGES, NOT ELSEWHERE shall be substituted;

(ii) in heading No. 22.08

(a) for the entry in column (3), the following entry shall be substituted, namely:

UNDENATURED ETHYL ALCOHOL OF AN ALCOHOLIC STRENGTH BY VOLUME OF LESS THAN 80% VOL; SPIRITS, LIQUEURS AND OTHER SPIRITOUS BEVERAGES ;

(b) sub-heading No. 2208.10 and the entries relating thereto shall be omitted;

(15) In Chapter 25,

(i) in NOTE 2, in clause (g) for the figures 38.23 , the figures 38.24 shall be substituted;

(ii) in heading No. 25.30, sub-heading No. 2530.30 and the entries relating thereto shall be omitted;

(16) In Chapter 26,

(i) in NOTE 1, for clause (e), the following clause shall be substituted, namely:

(e) Waste or scrap of precious metal or of metal clad with precious metal; other waste or scrap containing precious metal or precious metal compounds, of a kind used principally for the recovery of precious metal (heading No. 71.12); or ;

(ii) in heading No. 26.02, for the entry in column (3), the following entry shall be substituted, namely:

MANGANESE ORES AND CONCENTRATES, INCLUDING FERRUGINOUS MANGANESE ORES AND CONCENTRATES WITH A MANGANESE CONTENT OF 20% OR MORE, CALCULATED ON THE DRY WEIGHT ;

(17) In Chapter 28,

(i) in NOTE 1, for clause (d), the following clause shall be substituted, namely:

(d) The products mentioned in (a), (b) or (c) above with an added stabiliser (including an anti-caking agent) necessary for their preservation or transport; ;

(ii) in NOTE 3,

(a) in clause (e), for the figures 38.23 , wherever they occur, the figures 38.24 shall be substituted;

(b) for clause (g), the following clause shall be substituted, namely:

(g) The metals, whether or not pure, metal alloys or cermets, including sintered metal carbides (metal carbides sintered with a metal), or Section XV; or ;

(iii) in heading No. 28.27, sub-heading No. 2827.37 and the entries relating thereto shall be omitted;

(iv) in heading No. 28.35, sub-heading No. 2835.21 and the entries relating thereto shall be omitted;

(v) in heading No. 28.36, sub-heading No. 2836.93 and the entries relating thereto shall be omitted;

(18) in Chapter 29,

(i) in NOTE 1, for clause (f), the following clause shall be substituted, namely:

(f) The products mentioned in (a), (b), (c), (d) or (e) above with an added stabiliser (including an anti-caking agent) necessary for their preservation or transport; ;

(ii) in NOTE 2,

(a) for clause (a), the following clause shall be substituted, namely:

(a) Goods of heading No. 15.04 or crude glycerol of heading No. 15.20; ;

(b) in clause (ij) for the figures 38.23 , the figures 38.24 shall be substituted;

(iii) in NOTE 5,

(a) in clause (b), the words or glycerol shall be omitted;

(b) in clause (d), the words and glycerol shall be omitted;

(iv) in heading No. 29.05, sub-heading No. 2905.21 and the entries relating thereto shall be omitted;

(v) in heading No. 29.33,

(a) for the entry in column (3), the following entry shall be substituted, namely:

HETEROCYCLIC COMPOUNDS WITH NITROGEN HETERO-ATOM(S) ONLY ;

(b) after sub-heading No. 2933.40 and the entries relating thereto, in column (3), for the words and brackets -Compounds containing a pyrimidines ring (whether or not hydrogenated) or piperazine ring in the structure; nucleic acids and their salts , the following words and brackets shall be substituted, namely:

-Compounds containing a pyrimidines ring (whether or not hydrogenated) or piperazine ring in the structure: ;

(vi) in heading No. 29.34, for the entry in column (3), the following entry shall be substituted, namely:

NUCLEIC ACIDS AND THEIR SALTS; OTHER HETEROCYCLIC COMPOUNDS ;

(19) In Chapter 30,

(i) NOTES 2 and 3 shall be renumbered as NOTES 3 and 4 respectively and before NOTE 3 as so renumbered, the following NOTE shall be inserted, namely:

2. For the purposes of heading No. 30.02, the expression modified immunological products applies only to monoclonal antibodies (MABs), antibody fragments, antibody conjugates and antibody fragment conjugates. ;

(ii) in NOTE 3 as so renumbered, for the word, figure, brackets, and letter Note 3(d) , the word, figure, brackets and letter Note 4 (d) shall be substituted;

(iii) in heading No. 30.02, for the entry in column (3), the following entry shall be substituted, namely:

HUMAN BLOOD; ANIMAL BLOOD PREPARED FOR THERAPEUTIC, PROPHYLACTIC OR DIAGNOSTIC USES; ANTISERA AND OTHER BLOOD FRACTIONS AND MODIFIED IMMUNOLOGICAL PRODUCTS, WHETHER OR NOT OBTAINED BY MEANS OF BIOTECHNOLOGICAL PROCESSES; VACCINES, TOXINS, CULTURES OF MICRO-ORGANISMS (EXCLUDING YEASTS) AND SIMILAR PRODUCTS ;

(iv) in sub-heading No. 3002.10, for the entry in column (3), the following entry shall be substituted, namely:

-Antisera and other blood fractions and modified immunological products, whether or not obtained by means of biotechnological processes ;

(v) in heading No. 30.06, for the entry in column (3), the following entry shall be substituted, namely:

PHARMACEUTICAL GOODS SPECIFIED IN NOTE 4 TO THIS CHAPTER ;

(20) In Chapter 31, in NOTE 1, in clause (c), for the figures 38.23 , the figures 38.24 shall be substituted;

(21) In Chapter 32,

(i) in heading No. 32.01, sub-heading No. 3201.30 and the entries relating thereto shall be omitted;

(ii) in heading No. 32.14, in sub-heading No. 3214.10, for the entry in column (3), the following entry shall be substituted, namely:

-Glaziers' putty, grafting putty, resin cements, caulking compounds and other mastics; painters' fillings ;

(22) In Chapter 33,

(i) in NOTE 1, for clause (a), the following clause shall be substituted, namely:

(a) Natural oleoresins or vegetable extracts of heading No. 13.01 or 13.02; ;

(ii) NOTES 2 and 3 shall be renumbered as NOTES 3 and 4 respectively, and before NOTE 3 as so renumbered, the following NOTE shall be inserted, namely:

2. The expression odoriferous substances in heading No. 33.02 refers only to the substances of heading No. 33.01 to odoriferous constitutents isolated from those substances or to synthetic aromatics. ;

(iii) in heading No. 33.01, in column (3), after the word RESINOIDS ; the words EXTRACTED OLEORESINS ; shall be inserted;

(iv) in heading No. 33.02,

(a) for the entry in column (3), the following entry shall be substituted, namely:

MIXTURES OF ODORIFEROUS SUBSTANCES AND MIXTURES (INCLUDING ALCOHOLIC SOLUTIONS) WITH A BASIS OF ONE OR MORE OF THESE SUBSTANCES, OF A KIND USED AS RAW MATERIALS IN INDUSTRY; OTHER PREPARATIONS BASED ON ODORIFEROUS SUBSTANCES, OF A KIND USED FOR THE MANUFACTURE OF BEVERAGES ;

(b) in sub-heading No. 3302.10, for the entry in column (4), the entry 290% shall be substituted;

(23) In Chapter 34, in NOTE 5, in clause (a), for the figures 15.16, 15.19 or 34.02 , the figures 15.16, 34.02 or 38.23 shall be substituted;

(24) In Chapter 37,

(i) in NOTE 1, the word materials shall be omitted;

(ii) for NOTE 2, the following NOTE shall be substituted, namely:

2. In this Chapter the word photographic relates to the process by which visible images are formed, directly or indirectly by the action of light or other forms of radiation on photosensitive surfaces. ;

(iii) in heading No. 37.02,

(a) after sub-heading No. 3702.20, and the entries relating thereto, in column (3), for the words, -Other film, without sprocket holes, of a width not exceeding 105 mm: , the following words shall be substituted, namely:

-Other film, without perforations, of a width not exceeding 105 mm: ;

(b) after sub-heading No. 3702.39, and the entries relating thereto, in column (3), for the words -Other film, without sprocket holes, of a width exceeding 105 mm; , the following words shall be substituted, namely:

-Other film, without perforations, of a width exceeding 105 mm: ;

(25) In Chapter 38,

(i) in NOTE 1, after clause (c), the following clause shall be inserted, namely:

(d) Spent catalysts of a kind used for the extraction of base metals or for the manufacture of chemical compounds of base metals (heading No. 26.20), spent catalysts of a kind used principally for the recovery of precious metal (heading No. 71.12) or catalysts consisting of metals or metal alloys in the form of, for example, finely divided powder or woven gauze (Section XIV or XV). ;

(ii) in NOTE 2, for the figures 38.23 , the figures 38.24 shall be substituted;

(iii) in heading No. 38.06, in sub-heading No. 3806.20, for the entry in column (3), the following entry shall be substituted, namely:

-Salts of rosin, of resin acids or of derivatives of rosin or resin acids, other than salts of rosin adducts ;

(iv) in heading No. 38.22, for the entry in column (3), the following entry shall be substituted, namely:

DIAGNOSTIC OR LABORATORY REAGENTS ON A BACKING AND PREPARED DIAGNOSTIC OR LABORATORY REAGENTS WHETHER OR NOT ON A BACKING, OTHER THAN THOSE OF HEADING No. 30.02 OR 30.06 ;

(26) In Chapter 39,

(i) in NOTE 2,

(a) for clause (d), the following clause shall be substituted, namely:

(d) Solutions (other than collodions) consisting of any of the products specified in headings Nos. 39.01 to 39.13 in volatile organic solvents when the weight of the solvent exceeds 50% of the weight of the solution (heading No. 32.08); stamping foils of heading No. 32.12 ;

(b) clauses (g) to (v) shall be renumbered as clauses (h) to (w) respectively and before clause (h) as so renumbered, the following clause shall be inserted, namely:

(g) Diagnostic or laboratory reagents on a backing of plastics (heading No. 38.22) ;

(ii) for NOTE 4, the following NOTE shall be substituted, namely:

4. The expression copolymers covers all polymers in which no single monomer unit contributes 95% or more by weight to the total polymer content.

For the purposes of this Chapter, except where the context otherwise requires, copolymers (including co-polycondensates, co-polyaddition products, block copolymers and graft copolymers) and polymer blends are to be classified in the heading covering polymers of that comonomer unit which predominates by weight over every other single comonomer unit. For the purposes of this NOTE, constituent comonomer units of polymers falling in the same heading shall be taken together.

If no single comonomer unit predominates, copolymers or polymer blends, as the case may be, are to be classified in the heading which occurs last in numerical order among those which equally merit consideration. ;

(iii) for the SUB-HEADING NOTE, the following SUB-HEADING NOTE shall be substituted, namely:

Within any one heading of this Chapter, polymers (including copolymers) and chemically modified polymers are to be classified according to the following provisions:

(a) Where there is a sub-heading named Other in the same series:

(1) The designation in a sub-heading of polymer by the prefix poly (e.g., polyethylene and polyamide-6, 6) means that the constituent monomer unit or monomer units of the named polymer taken together must contribute 95% or more by weight of the total polymer content.

(2) The copolymers named in sub-headings Nos. 3901.30, 3903.20, 3903.30 and 3904.30 are to be classified in those sub-headings, provided that the comonomer units of the named copolymers contribute 95% or more by weight of the total polymer content.

(3) Chemically modified polymers are to be classified in the sub-heading named Other , provided that the chemically modified polymers are not more specifically covered by another sub-heading.

(4) Polymers not meeting (1), (2) or (3) above, are to be classified in the sub-heading, among the remaining sub-headings in the series, covering polymers of that monomer unit which predominates by weight over every other single comonomer unit. For this purpose, constituent monomer units of polymers falling in the same sub-heading shall be taken together. Only the constituent comonomer units of the polymers in the series of sub-headings under consideration are to be compared.

(b) Where there is no sub-heading named Other in the same series:

(1) Polymers are to be classified in the sub-heading covering polymers of that monomer unit which predominates by weight over every other single comonomer unit. For this purpose, constituent monomer units of polymers falling in the same sub-heading shall be taken together. Only the constituent comonomer units of the polymers in the series under consideration are to be compared.

(2) Chemically modified polymers are to be classified in the sub-heading appropriate to the unmodified polymer.

Polymer blends are to be classified in the same sub-heading as polymers of the same monomer units in the same proportions. ;

(27) In Chapter 41, in heading No. 41.04, in sub-heading No. 4104.41, for the entry in column (3), the following entry shall be substituted, namely:

Full grains and full grain splits ;

(28) In Chapter 42, for NOTE 2, the following NOTE shall be substituted, namely:

2. (A) In addition to the provisions of Note 1 above, heading No. 42.02 does not cover:

(a) Bags made of sheeting of plastics, whether or not printed, with handles, not designed for prolonged use (heading No. 39.23);

(b) Articles of plaiting materials (heading No. 46.02).

(B) Articles of heading Nos. 42.02 and 42.03 which have parts of precious metal or metal clad with precious metal, of natural or cultured pearls, of precious or semi-precious stones (natural synthetic or reconstructed) remain classified in those headings even if such parts constitute more than minor fittings or minor ornamentation, provided that these parts do not give the articles their essential character. If, on the other hand, the parts give the articles their essential character, the articles are to be classified in Chapter 71. ;

(29) In Chapter 43,

(i) in NOTE 1, for the word hair , the words hair or wool shall be substituted;

(ii) in NOTE 2, in clause (b), for the word hair , the words hair or wool shall be substituted;

(30) In Chapter 44,

(i) in NOTE 1, for clause (b), the following clause shall be substituted, namely:

(b) Bamboos or other materials of a woody nature of a kind used primarily for plaiting, in the rough, whether or not split, sawn lengthwise or cut to length (heading No. 14.01); ;

(ii) for NOTE 6, the following NOTE shall be substituted, namely:

6. Subject to NOTE 1 above and except where the context otherwise requires, any reference to wood in a heading of this Chapter applies also to bamboos and other materials of a woody nature .;

(iii) after NOTE 6, the following SUB-HEADING NOTE shall be inserted, namely:

SUB-HEADING NOTE

For the purposes of sub-heading Nos. 4403.41 to 4403.49, 4407.24 to 4407.29, 4408.31 to 4408.39 and 4412.13 to 4412.99, the expression tropical wood means one of the following types of wood:

Abura, Acajou d'Afrique, Afrormosla, Ako Alan, Andiroba, Aningre, Avodire, Azobe, Balau, Balsa, Bosse clair, Bosse fonce, Cativo, Cedro, Dabema, Dark Red Meranti, Dibetou, Doussie, Framire, Freijo, Fromager, Fuma, Geronggang, llomba, Imbuia, Ipe, Iroko, Jaboty, Jelutong, Jequitiba, Jongkong, Kapur, Kempas, Keruing, Kosipo, Kotibe, Koto, Light Red Meranti, Limba, Louro, Macaranduba, Mahogany, Makore, Mansonia, Mengkulang, Meranti Bakau, Merawan, Merbau, Merpauh, Mersawa, Moabi, Niangon, Nyatoh, Obeche, Okoume, Onzabili, Orey, Ovengkol, Ozigo, Padauk, Paldao, Palissandre de Guatemala, Palissandre de Para, Palissandre de Rio, Palissandre de Rose, Pau Marfim, Pulai, Punah, Ramin, Sapelli, Saqui-Saqui, Sepetir, Sipo, Sucupira, Suren, Teak, Tiama, Tola, Virola, White Lauan, White Meranti, White Seraya, Yellow Meranti.';

(iv) in heading No. 44.15,

(a) for the entry in column (3), the following entry shall be substituted, namely:

PACKING CASES, BOXES, CRATES, DRUMS AND SIMILAR PACKINGS, OF WOOD; CABLE-DRUMS OF WOOD; PALLETS, BOX PALLETS AND OTHER LOAD BOARDS, OF WOOD; PALLET COLLARS OF WOOD ;

(b) in sub-heading No. 4415.20, for the entry in column (3), the following entry shall be substituted, namely:

Pallets, box pallets and other load boards; pallet collars ;

(31) In Chapter 46, in NOTE 1, for the words and brackets strips of other vegetable material (for example, raffia, narrow leaves or strips cut from broad leaves) or bark , the words and brackets strips of other vegetable material (for example, strips of bark, narrow leaves and raffia or other strips obtained from broad leaves) , shall be substituted;

(32) In SECTION X, in the title, for the words WASTE AND SCRAP OF PAPER OR PAPERBOARD , the words and brackets RECOVERED (WASTE AND SCRAP) PAPER OR PAPERBOARD shall be substituted;

(33) In Chapter 47,

(i) in the title, for the words Waste and Scrap of paper or Paperboard , the words and brackets Recovered (waste and scrap) paper or paperboard shall be substituted;

(ii) in heading No. 47.06, for the entry in column (3), the following entry shall be substituted, namely:

PULPS OF FIBRES DERIVED FROM RECOVERED (WASTE AND SCRAP) PAPER OR PAPERBOARD OR OF OTHER FIBROUS CELLULOSIC MATERIAL ;

(iii) in heading No. 47.07,

(a) for the entry in column (3), the following entry shall be substituted, namely:

RECOVERED (WASTE AND SCRAP) PAPER OR PAPERBOARD ;

(b) in sub-heading No. 4707.10, for the entry in column (3), the following shall be substituted, namely:

-Unbleached Kraft paper or paperboard or corrugated paper or paperboard ;

(c) in sub-heading No. 4707.20, in column (3), for the words Of other paper , the words Other paper shall be substituted;

(d) in sub-heading No. 4707.30, in column (3), for the words Of paper , the words Paper shall be substituted;

(34) In Chapter 48,

(i) in NOTE 1, clauses (f) to (o) shall be renumbered as clauses (g) to (p) respectively and before clause (g) as so renumbered, the following clause shall be inserted, namely:

(f) Paper impregnated with diagnostic or laboratory reagents (heading No. 38.22); ;

(ii) in NOTE 2, the words for example, by coating or impregnation , shall be omitted;

(iii) for NOTE 3, the following NOTE shall be substituted, namely:

3. In this Chapter the expression newsprint means uncoated paper of a kind used for the printing of newspapers, of which not less than 65% by weight of the total fibre content consists of wood fibres obtained by a mechanical or chemi-mechanical process, usized or very lightly sized, having a surface roughness Parker Print Surf (1 MPa) on each side exceeding 2.5 micrometres (microns), weighing not less than 40 g/m² and not more than 65 g/m². ;

(iv) in NOTE 4,

(a) the brackets and sign (*) , wherever they occur, shall be omitted;

(b) the footnote shall be omitted;

(c) in clauses (d) and (e), for the figures and letters 2.5 kPa./g/m² the figures and letters 2.5 kPa m²/g shall be substituted;

(v) for NOTE 6, the following NOTE shall be substituted, namely:

6. Except where the terms of the headings otherwise require, paper, paperboard, cellulose wadding and webs of cellulose fibres answering to a description in two or more of the headings Nos. 48.01 to 48.11 are to be classified under that one of such headings which occurs last in numerical order in this Schedule. ;

(vi) existing NOTE 7 shall be renumbered as NOTE 7(A) and after NOTE 7(A) as so renumbered, the following NOTE shall be inserted, namely:

7(B). Headings Nos. 48.03 and 48.09 apply only to paper, cellulose wadding and webs of cellulose fibres:

(a) in strips or rolls of a width exceeding 36 cm; or

(b) in rectangular (including square) sheets with one side exceeding 36 cm and the other side exceeding 15 cm in the unfolded state. ;

(vii) in SUB-HEADING NOTE 2, in clause (a), for the figures 38 , the figures and letters 3.7 kPa. m²/g shall be substituted;

(viii) in SUB-HEADING NOTE 3, for the figures and letters 20 kgf , the figures and word 196 newtons shall be substituted;

(ix) in SUB-HEADING NOTE 4, for the figures 15 , the figures and letters 1.47kPa. m²/g shall be substituted;

(x) in heading No. 48.03, for the entry in column (3), the following entry shall be substituted, namely:

TOILET OR FACIAL TISSUE STOCK, TOWEL OR NAPKIN STOCK AND SIMILAR PAPER OF A KIND USED FOR HOUSEHOLD OR SANITARY PURPOSES, CELLULOSE WADDING AND WEBS OF CELLULOSE FIBRES, WHETHER OR NOT CREPED, CRINKLED, EMBOSSED, PERFORATED, SURFACE-COLOURED, SURFACE-DECORATED OR PRINTED, IN ROLLS OR SHEETS ;

(xi) in heading No. 48.05, for the entry in column (3), the following entry shall be substituted, namely:

OTHER UNCOATED PAPER AND PAPERBOARD, IN ROLLS OR SHEETS, NOT FURTHER WORKED OR PROCESSED THAN AS SPECIFIED IN NOTE 2 TO THIS CHAPTER ;

(xii) in heading No. 48.08, for the entry in column (3), the following entry shall be substituted, namely:

PAPER AND PAPERBOARD, CORRUGATED (WITH OR WITHOUT GLUED FLAT SURFACE SHEETS), CREPED, CRINKLED, EMBOSSED OR PERFORATED, IN ROLLS OR SHEETS, OTHER THAN PAPER OF THE KIND DESCRIBED IN HEADING No. 48.03 ;

(xiii) in heading No. 48.09, for the entry in column (3), the following entry shall be substituted, namely:

CARBON PAPER, SELF-COPY PAPER AND OTHER COPYING OR TRANSFER PAPERS (INCLUDING COATED OR IMPREGNATED PAPER FOR DUPLICATOR STENCILS OR OFFSET PLATES), WHETHER OR NOT PRINTED, IN ROLLS OR SHEETS ;

(xiv) in heading No. 48.11, for the entry in column (3), the following entry shall be substituted, namely:

PAPER, PAPERBOARD, CELLULOSE WADDING AND WEBS OF CELLULOSE FIBRES, COATED, IMPREGNATED, COVERED, SURFACE-COLOURED, SURFACE-DECORATED OR PRINTED, IN ROLLS OR SHEETS, OTHER THAN GOODS OF THE KIND DESCRIBED IN HEADING No. 48.03, 48.09 OR 48.10 ;

(xv) in heading No. 48.18, for the entry in column (3), the following entry shall be substituted, namely:

TOILET PAPER AND SIMILAR PAPER, CELLULOSE WADDING OR WEBS OF CELLULOSE FIBRES, OF A KIND USED FOR HOUSEHOLD OR SANITARY PURPOSES, IN ROLLS OF A WIDTH NOT EXCEEDING 36 CM, OR CUT TO SIZE OR SHAPE; HANDKERCHIEFS, CLEANSING TISSUES, TOWELS, TABLECLOTHS, SERVIETTES, NAPKINS FOR BABIES, TAMPONS, BED-SHEETS AND SIMILAR HOUSEHOLD, SANITARY OR HOSPITAL ARTICLES, ARTICLES OF APPAREL AND CLOTHING ACCESSORIES, OF PAPER PULP, PAPER, CELLULOSE WADDING OR WEBS OF CELLULOSE FIBRES ;

(xvi) in heading No. 48.23, sub-heading No. 4823.30 and the entries relating thereto shall be omitted;

(35) In SECTION XI,

(i) in NOTE 1,

(a) for clause (e), the following clause shall be substituted, namely:

(e) Articles of heading No. 30.05, or 30.06 (for example, wadding, gauze, bandages and similar articles for medical, surgical, dental or veterinary purposes, sterile surgical suture materials); yarn used to clean between the teeth (dental floss), in individual retail packages, of heading No. 33.06 ;

(b) in clause (s), the word or occurring at the end shall be omitted;

(c) after clause (t) the following clauses shall be inserted, namely:

(u) Articles of Chapter 96 (for example, brushes, travel sets for sewing, slide fasteners and typewriter ribbons); or

(v) Articles of Chapter 97. ;

(ii) in NOTE 5, for clause (b), the following clause shall be substituted, namely:

(b) Dressed for use as sewing thread; and ;

(iii) in NOTE 7, for clause (f), the following clause shall be substituted, namely:

(f) Knitted or crocheted to shape, whether presented as separate items or in the form of a number of items in the length. ;

(iv) for NOTE 8, the following NOTE shall be substituted, namely:

8. For the purposes of Chapters 50 to 60:

(a) Chapters 50 to 55 and 60 and, except where the context otherwise requires, Chapters 56 to 59 do not apply to goods made up within the meaning of Note 7 above; and

(b) Chapters 50 to 55 and 60 do not apply to goods of Chapters 56 to 59. ;

(v) in NOTE 13, the following shall be inserted at the end, namely:

For the purposes of this Note, the expression textile garments , means garments of heading Nos. 61.01 to 61.14 and heading Nos. 62.01 to 62.11.';

(vi) in SUB-HEADING NOTE 2, in clause (B) for sub-clause (c), the following sub-clause shall be substituted, namely:

(c) in the case of embroidery of heading No. 58.10 and goods thereof, only the ground fabric shall be taken into account. However, embroidery without visible ground, and goods thereof, shall be classified with reference to the embroidering threads alone. ;

(36) In Chapter 52, for SUB-HEADING NOTE, the following SUB-HEADING NOTE shall be substituted, namely:

For the purposes of sub-heading Nos. 5209.42 and 5211.42, the expression denim means fabrics of yarns of different colours, of 3-thread or 4-thread twill, including broken twill, warp faced, the warp yarns of which are of one and the same colour and the weft yarns of which are unbleached, bleached, dyed grey or coloured a lighter shade of the colour of the warp yarns. ;

(37) In Chapter 58, in heading No. 58.04, for the entry in column (3), the following entry shall be substituted, namely:

TULLES AND OTHER NET FABRICS, NOT INCLUDING WOVEN, KNITTED OR CROCHETED FABRICS; LACE IN THE PIECE, IN STRIPS OR IN MOTIFS, OTHER THAN FABRICS OF HEADING No. 60.02 ;

(38) In Chapter 59,

(i) in NOTE 4, for clauses (c) and (d), the following clause shall be substituted, namely:

(c) Fabrics composed of parallel textile yarns agglomerated with rubber, irrespective of their weight per square metre.

This heading does not, however, apply to plates, sheets or strip of cellular rubber, combined with textile fabric, where the textile fabric is present merely for reinforcing purposes (Chapter 40), or textile products of heading No. 58.11. ;

(ii) in NOTE 7, in clause (a), for sub-clause (i), the following sub-clause shall be substituted, namely:

(i) Textile fabrics, felt and felt-lined woven fabrics, coated, covered or laminated with rubber, leather or other material, of a kind used for card clothing, and similar fabrics of a kind used for other technical purposes, including narrow fabrics made of velvet impregnated with rubber, for covering weaving spindles (weaving beams); ;

(iii) in heading No. 59.10, for the entry in column (3), the following entry shall be substituted, namely:

TRANSMISSION OR CONVEYOR BELTS OR BELTING, OF TEXTILE MATERIAL, WHETHER OR NOT IMPREGNATED, COATED, COVERED OR LAMINATED WITH PLASTICS, OR REINFORCED WITH METAL OR OTHER MATERIAL ;

(iv) in heading No. 59.11, in sub-heading No. 5911.10, for the entry in column (3), the following entry shall be substituted, namely:

-Textile fabrics, felt and felt-lined woven fabrics, coated, covered or laminated with rubber, leather or other material, of a kind used for card clothing, and similar fabrics of a kind used for other technical purposes, including narrow fabrics made of velvet impregnated with rubber, for covering weaving spindles (weaving beams) ;

(39) In Chapter 61,

(i) in NOTE 3, for clause (a), the following clause shall be substituted, namely:

(a) The term suit means a set of garments composed of two or three pieces made up, in respect of their outer surface, in identical fabric and comprising:

-one suit coat or jacket the outer shell of which, exclusive of sleeves, consists of four or more panels, designed to cover the upper part of the body, possibly with a tailored waistcoat in addition whose front is made from the same fabric as the outer surface of the other components of the set and whose back is made from the same fabric as the lining of the suit coat or jacket; and

-one garment designed to cover the lower part of the body and consisting of trousers, breeches or shorts (other than swimwear), a skirt or a divided skirt, having neither braces nor bibs.

All of the components of a suit must be of the same fabric construction, colour and composition; they must also be of the same style and corresponding or compatible size. However, these components may have piping (a strip of fabric sewn into the seam) in a different fabric.

If several separate components to cover the lower part of the body are presented together (for example, two pairs of trousers or trousers and shorts, or a skirt or divided skirt and trousers), the constituent lower part shall be one pair of trousers or, in the case of women's or girls suits, the skirt or divided skirt, the other garments being considered separately.

The term suit includes the following sets of garments, whether or not they fulfil all the above conditions:

-morning dress, comprising a plain jacket (cutaway) with rounded tails hanging well down at the back and striped trousers;

-evening dress (tailcoat), generally made of black fabric, the jacket of which is relatively short at the front, does not close and has narrow skirts cut in at the hips and hanging down behind;

-dinner jacket suits, in which the jacket is similar in style to an ordinary jacket (though perhaps revealing more of the shirt front), but has shiny silk or imitation silk lapels. ;

(ii) NOTES 5 to 9 shall be renumbered as NOTES 6 to 10 respectively and before NOTE 6 as so renumbered, the following NOTE shall be inserted, namely:

5. Heading No. 61.09 does not cover garments with a drawsting, ribbed, waistband or other means of tightening at the bottom of the garment. ;

(iii) in heading No. 61.16, in sub-heading No. 6116.10, for the entry in column (3), the following entry shall be substituted, namely:

-Impregnated, coated or covered with plastics or rubber ;

(40) In Chapter 62, in NOTE 3 for clause (a), the following clause shall be substituted, namely:

(a) The term suit means a set of garments composed of two or three pieces made up, in respect of their outer surface, in identical fabric and comprising:

-one suit coat or jacket the outer shell of which, exclusive of sleeves, consists of four or more panels, designed to cover the upper part of the body, possibly with a tailored waistcoat in addition whose front is made from the same fabric as the outer surface of the other components of the set and whose back is made from the same fabric as the lining of the suit coat or jacket; and

-one garment designed to cover the lower part of the body and consisting of trousers, breechs or shorts (other than swimwear), a skirt or a divided skirt, having neither braces nor bibs.

All of the components of a suit must be of the same fabric construction, colour and composition; they must also be of the same style and corresponding or compatible size. However, these components may have piping (a strip of fabric sewn into the seam) in different fabric.

If several separate components to cover the lower part of the body are presented together (for example, two pairs of trousers or trousers and shorts, or a skirt or divided skirt and trousers), the constituent lower part shall be one pair of trousers or, in the case of women's or girls suits, the skirt or divided skirt, the other garments being considered separately.

The term suit includes the following sets of garments, whether or not they fulfil all the above conditions:

-morning dress, comprising a plain jacket (cutaway) with rounded tails hanging well down at the back and striped trousers;

-evening dress (tailcoat), generally made of black fabric, the jacket of which is relatively short at the front, does not close and has narrow skirts cut in at the hips and hanging down behind;

-dinner jacket suits, in which the jacket is similar in style to an ordinary jacket (though perhaps revealing more of the shirt front), but has shiny silk or imitation silk lapels. ;

(41) In Chapter 64,

(i) in NOTE 1,

(a) for clause (a), the following clause shall be substituted, namely:

(a) Disposable foot or shoe coverings of flimsy material (for example, paper, sheeting of plastics) without applied soles. These products are classified according to their constituent material; ;

(b) clauses (b) to (e) shall be renumbered as clauses (c) to (f) respectively and before clause (c) as so renumbered, the following clause shall be inserted, namely:

(b) Footwear of textile material, without an outer sole glued, sewn or otherwise affixed or applied to the upper (Section XI); ;

(ii) for NOTES 2 and 3, the following NOTES shall be substituted, namely:

2. For the purposes of heading No. 64.06, the term parts does not include pegs, protectors, eyelets, hooks, buckles, ornaments, braid, laces, pompons or other trimmings (which are to be classified in their appropriate headings) or buttons or other goods of heading No. 96.06.

3. For the purposes of this Chapter:

(a) the terms rubber and plastics include woven fabrics or other textile products with an external layer of rubber or plastics being visible to the naked eye; for the purpose of this provision, no account should be taken of any resulting change of colour; and

(b) the term leather refers to the goods of heading Nos. 41.04 to 41.09. ;

(iii) in SUB-HEADING NOTE,

(a) in opening sentence, for the figures 6402.11 and 6403.11 , for the figures 6402.12 and 6403.12 shall respectively be substituted;

(b) for clause (b), the following clause shall be substituted, namely:

(b) skating boots, ski-boots and cross-country ski footwear, snowboard boots, wresting boots, boxing boots and cycling shoes. ;

(42) In Chapter 68,

(i) in heading No. 68.10, sub-heading No. 6810.20 and the entries relating thereto shall be omitted;

(ii) in heading No. 68.15, for the entry in column (3), the following entry shall be substituted, namely:

ARTICLES OF STONE OR OF OTHER MINERAL SUBSTANCES (INCLUDING CARBON FIBRES, ARTICLES OF CARBON FIBRES AND ARTICLES OF PEAT), NOT ELSEWHERE SPECIFIED OR INCLUDED ;

(43) In Chapter 69,

(i) in NOTE 2, clauses (b) to (l) shall be renumbered as clauses (c) to (m) respectively, and before clause (c) as so renumbered, the following clause shall be inserted, namely:

(b) Articles of heading No. 68.04; ;

(ii) in heading No. 69.03, in sub-heading No. 6903.10, for the entry in column (3), the following entry shall be substituted, namely:

-Containing by weight more than 50% of graphite or other carbon or of a mixture of these products ;

(44) In Chapter 70,

(i) in NOTE 2, for clause (c), the following clause shall be substituted, namely:

(c) the expression absorbent, reflecting or non-reflecting layer means a microscopically thin coating of metal or of a chemical compound (for example, metal oxide) which absorbs, for example, infra-red light or improves the reflecting qualities of the glass while still allowing it to retain a degree of transparency or translucency; or which prevents light from being reflected on the surface of the glass. ;

(ii) in heading No. 70.03, for the entry in column (3), the following entry shall be substituted, namely:

CAST GLASS AND ROLLED GLASS, IN SHEETS OR PROFILES, WHETHER OR NOT HAVING AN ABSORBENT, REFLECTING OR NON-REFLECTING LAYER, BUT NOT OTHERWISE WORKED ;

(iii) in heading No. 70.04, for the entry in column (3), the following entry shall be substituted, namely:

DRAWN GLASS AND BLOWN GLASS, IN SHEETS, WHETHER OR NOT HAVING AN ABSORBENT, REFLECTING OR NON-REFLECTING LAYER, BUT NOT OTHERWISE WORKED ;

(iv) in heading No. 70.05,

(a) for the entry in column (3), the following entry shall be substituted, namely:

FLOAT GLASS AND SURFACE GROUND OR POLISHED GLASS, IN SHEETS, WHETHER OR NOT HAVING AN ABSORBENT, REFLECTING OR NON-REFLECTING LAYER, BUT NOT OTHERWISE WORKED ;

(b) in sub-heading No. 7005.10, for the entry in column (3), the following entry shall be substituted, namely:

-Non-wired glass, having an absorbent, reflecting or non-reflecting layer ;

(45) In Chapter 71,

(i) in NOTE 3,

(a) clauses (d) to (o) shall be renumbered as clauses (e) to (p) respectively and before clause (e) as so renumbered, the following clause shall be inserted, namely:

(d) Supported catalysts (heading No. 38.15); ;

(b) for clause (e) as so renumbered, the following clause shall be substituted, namely:

(e) Articles of heading No. 42.02 or 42.03 referred to in Note 2(B) to Chapter 42; ;

(ii) NOTES 8, 9 and 10 shall be renumbered as NOTES 9, 10 and 11 respectively and before NOTE 9 as so renumbered, the following NOTE shall be inserted, namely:

8. Subject to Note 1(a) to Section VI, goods answering to a description in heading No. 71.12 are to be classified in that heading and in no other heading of this Schedule. ;

(iii) in NOTE 11 as so renumbered, for the word and figure NOTE 8 , the word and figure NOTE 9 shall be substituted;

(iv) in heading No. 71.01, in column (3), the word UNGRADED shall be omitted;

(v) in heading No. 71.12, for the entry in column (3), the following entry shall be substituted, namely:

WASTE AND SCRAP OF PRECIOUS METAL OR OF METAL CLAD WITH PRECIOUS METAL; OTHER WASTE AND SCRAP CONTAINING PRECIOUS METAL OR PRECIOUS COMPOUNDS, OF A KIND USED PRINCIPALLY FOR THE RECOVERY OF PRECIOUS METAL ;

(46) In SECTION XV,

(i) NOTES 3 to 6 shall be renumbered as NOTES 5 to 8 respectively and before NOTE 5 as so renumbered, the following NOTES shall be inserted, namely:

3. Throughout this Schedule, the expression base metals means: iron and steel, copper, aluminium, lead, zinc, tin, tungsten (wolfram), molybdenum, tantalum, magnesium, cobalt, bismuth, cadmium, titanium, zirconium, antimony, manganese, beryllium, chromium, germanium, vanadium, gallium, hafnium, indium, niobium (columbium), rhenium and thallium.

4. Throughout this Schedule, the term cermets means products containing a microscopic heterogeneous combination of a metallic component and a ceramic component. The terms cermets includes sintered metal carbides (metal carbides sintered with a metal). ;

(ii) in NOTE 6 as so renumbered and in clause (b) of NOTE 7 as so renumbered, for the word and figure NOTE 3 , the word and figure NOTE 5 shall be substituted;

(47) In Chapter 72,

(i) in NOTE 1, for clauses (l) and (m), the following clauses shall be substituted, namely:

(l) Bars and rods, hot-rolled, in irregularly wound coils

Hot-rolled products in irregularly wound coils, which have a solid cross-section in the shape of circles, segments of circles, ovals, rectangles (including squares, triangles or other convex polygons (including flattened circles and modified rectangles , of which two opposite sides are convex arcs, the other two sides being straight, of equal length and parallel). These products may have indentations, ribs, grooves or other deformations produced during the rolling process (reinforcing bars and rods).

(m) Other bars and rods

Products which do not conform to any of the definitions at (ij), (k) or (l) above or to the definition of wire, which have a uniform solid cross-section along their whole length in the shape of circles, segments of circles, ovals, rectangles (including squares), triangles or other convex polygons (including flattened circles and modified rectangles ), of which two opposite sides are convex arcs, the other two sides being straight, of equal length and parallel. These products may:

-have indentations, ribs, grooves or other deformations produced during the rolling process (reinforcing bars and rods);

-be twisted after rolling. ;

(ii) in SUB-HEADING NOTE 1, for clause (e), the following clause shall be substituted, namely:

(e) Silico manganese steel

Alloy steels containing by weight:

-not more than 0.7% of carbon,

-0.5% or more but not more than 1.9% of manganese, and

-0.6% or more but not more than 2.3% of silicon, but no other element in a proportion that would give the steel the characteristics of another alloy steel. ;

(48) In Chapter 73, in heading No. 73.05, for the entry in column (3), the following entry shall be substituted, namely:

OTHER TUBES AND PIPES (FOR EXAMPLE, WELDED, RIVETED OR SIMILARLY CLOSED), HAVING CIRCULAR CROSS-SECTIONS, THE EXTERNAL DIAMETER OF WHICH EXCEEDS 406.4 MM, OF IRON OR STEEL ;

(49) In Chapter 75, after the NOTE,

(i) for the words SUB-HEADING NOTE , the words SUB-HEADING NOTES shall be substituted;

(ii) the existing SUB-HEADING NOTE shall be numbered as SUB-HEADING NOTE 1 thereof, and after SUB-HEADING NOTE 1, as so numbered, the following SUB-HEADING NOTE shall be inserted, namely:

2 Notwithstanding the provisions of Chapter Note 1(c), for the purposes of sub-heading No. 7508.10, the term wire applies only to products, whether or not in coils, of any cross-sectional shape, of which no cross-sectional dimension exceeds 6 mm. ;

(50) In Chapter 76, after the NOTE,

(i) for the words SUB-HEADING NOTE , the words SUB-HEADING NOTES , shall be substituted;

(ii) the existing SUB-HEADING NOTE shall be numbered as SUB-HEADING NOTE 1 thereof, and after SUB-HEADING NOTE 1 as so numbered, the following SUB-HEADING NOTE shall be inserted, namely:

2. Notwithstanding the provisions of Chapter Note 1(c), for the purposes of sub-heading No. 7616.91, the term wire applies only to products, whether or not in coils, of any cross-sectional shape, of which no cross-sectional dimension exceeds 6 mm. ;

(51) In Chapter 82, in heading No. 82.09 in column (3), the words SINTERED METAL CARBIDES OR shall be omitted.

(52) In SECTION XVI,

(i) in NOTE 1, in clause (o) for the words and figures of heading No. 96.03 , the brackets, words and figures (heading No. 96.03) shall be substituted;

(ii) in NOTE 2,

(a) in clause (a), for the brackets, words and figures (other than heading Nos. 84.85 and 85.48) , the brackets, words and figures (other than heading Nos. 84.09, 84.31, 84.48, 84.66, 84.73, 84.85, 85.03, 85.22, 85.29, 85.38 and 85.48) shall be substituted;

(b) in clause (b), for the words of that kind , the words and figures of that kind or in heading Nos. 84.09, 84.31, 84.48, 84.66, 84.73, 85.03, 85.22, 85.29 or 85.38 as appropriate shall be substituted;

(c) for clause (c), the following clause shall be substituted, namely:

(c) All other parts are to be classified in heading No. 84.09, 84.31, 84.48, 84.66, 84.73, 85.03, 85.22, 85.29 or 85.38 as appropriate or, failing that, in heading No. 84.85, 85.48 ;

(53) In Chapter 84,

(i) in NOTE 1, for clause (b), the following clause shall be substituted, namely:

(b) Machinery or appliances (for example, pumps) of ceramic material and ceramic parts of machinery or appliances of any material (Chapter 69); ;

(ii) in NOTE 2, the following shall be inserted at the end, namely:

Heading No. 84.24 does not cover:

Ink-jet printing machines (heading No. 84.43 or 84.71) ;

(iii) for NOTE 4, the following NOTE shall be substituted, namely:

4. Heading No. 84.57 applies only to machine-tools for working metal, other than lathes (including turning centres), which can carry out different types of machining operations either:

(a) by automatic tool change from a magazine or the like in conformity with a machining programme (machining centres),

(b) by the automatic use, simultaneously or sequentially, of different unit heads working on a fixed position workpiece (unit construction machines, single station), or

(c) by the automatic transfer of the workpiece to different unit heads (multi-station transfer machines) ;

(iv) in NOTE 5, for clause (B) and the portion beginning with the words Heading No. and ending with the words in residual headings , the following clauses shall be substituted, namely:

(B) Automatic data processing machines may be in the form of systems consisting of a variable number of separate units. Subject to paragraph (E) below, a unit is to be regarded as being a part of a complete system if it meets all the following conditions:

(a) It is of a kind solely or principally used in an automatic data processing system;

(b) it is connectable to the central processing unit either directly or through one or more other units; and

(c) it is able to accept or deliver data in a form (codes or signals) which can be used by the system.

(C) Separately presented units of an automatic data processing machine are to be classified in heading No. 84.71

(D) Printers, keyboards, X-Y co-ordinate input devices and disk storage units which satisfy the conditions of paragraphs (B)(b) and (B)(c) above, are in all cases to be classified as units of heading No. 84.71.

(E) Machines performing a specific function other than data processing and incorporating or working in conjunction with an automatic data processing machine are to be classified in the headings appropriate to their respective functions or, failing that, in residual headings. ;

(v) after NOTE 7, the following NOTE shall be inserted, namely:

8. For the purposes of heading No. 84.70, the term pocket-size applies only to machines the dimensions of which do not exceed 170 mm 100 mm 45 mm. ;

(vi) after NOTE 8, as so inserted,

(a) for the words SUB-HEADING NOTE , the words SUB-HEADING NOTES shall be substituted;

(b) existing SUB-HEADING NOTE shall be numbered as SUB-HEADING NOTE 2 thereof and before SUB-HEADING NOTE 2 as so numbered, the following SUB-HEADING NOTE shall be inserted, namely:

1. For the purposes of Sub-heading No. 8471.49, the term systems means automatic data processing machines whose units satisfy the conditions laid down in NOTE 5(B) to Chapter 84 and which comprise at least a central processing unit, one input unit (for example, a keyboard or a scanner), and one output unit (for example, a visual display unit or a printer)). ;

(vii) in heading No. 84.22,

(a) for the entry in column (3), the following entry shall be substituted, namely:

DISH WASHING MACHINE, MACHINERY FOR CLEANING OR DRYING BOTTLES OR OTHER CONTAINERS; MACHINERY FOR FILLING, CLOSING, SEALING OR LABELLING BOTTLES, CANS, BOXES, BAGS OR OTHER CONTAINERS; MACHINERY FOR CAPSULING BOTTLES, JARS, TUBES AND SIMILAR CONTAINERS; OTHER PACKING OR WRAPPING MACHINERY (INCLUDING HEAT-SHRINK WRAPPING MACHINERY); MACHINERY FOR AERATING BEVERAGES ;

(b) in sub-heading No. 8422.30, for the entry in column (3), the following entry shall be substituted, namely:

-Machinery for filling, closing, sealing, or labelling bottles, cans, boxes, bags or other containers; machinery for capsuling bottles, jars, tubes and similar containers; machinery for aerating beverages ;

(c) in sub-heading No. 8422.40, for the entry in column (3), the following entry shall be substituted, namely:

-Other packing or wrapping machinery (including heat-shrink wrapping machinery) ;

(viii) in heading No. 84.43, for the entry in column (3), the following entry shall be substituted, namely:

PRINTING MACHINERY, INCLUDING INK-JET PRINTING MACHINES, OTHER THAN THOSE OF HEADING No. 84.71; MACHINES FOR USES ANCILLARY TO PRINTING ;

(ix) in heading No. 84.58, for the entry in column (3), the following entry shall be substituted, namely:

LATHES (INCLUDING TURNING CENTRES) FOR REMOVING METAL ;

(x) in heading No. 84.59, for the entry in column (3), the following entry shall be substituted, namely:

MACHINE-TOOLS (INCLUDING WAY-TYPE UNIT HEAD MACHINES) FOR DRILLING, BORING, MILLING, THREADING OR TAPPING BY REMOVING METAL, OTHER THAN LATHES (INCLUDING TURNING CENTRES) OF HEADING No. 84.58 ;

(xi) in heading No. 84.60, in column (3), the words , SINTERED METAL CARBIDES shall be omitted;

(xii) in heading No. 84.61, in column (3), the words , SINTERED METAL CARBIDES shall be omitted;

(xiii) in heading No. 84.63, in column (3), the words , SINTERED METAL CARBIDES shall be omitted;

(xiv) in heading No. 84.67, for the entry in column (3), the following entry shall be substituted, namely:

TOOLS FOR WORKING IN THE HAND, PNEUMATIC, HYDRAULIC OR WITH SELF-CONTAINED NON-ELECTRIC MOTOR ;

(xv) in heading No. 84.70,

(a) for the entry in column (3), the following entry shall be substituted, namely:

CALCULATING MACHINES AND POCKET-SIZE DATA RECORDING, REPRODUCING AND DISPLAYING MACHINES WITH CALCULATING FUNCTIONS; ACCOUNTING MACHINES, POSTAGE-FRANKING MACHINES, TICKET-ISSUING MACHINES AND SIMILAR MACHINES, INCORPORATING A CALCULATING DEVICE; CASH REGISTERS ;

(b) in sub-heading No. 8470.10, in Column (3), for the words external source of power , the words external source of electric power and pocket-size data recording, reproducing and displaying machines with calculating functions shall be substituted;

(xvi) in heading No. 84.83,

(a) in column (3), for the words BALL SCREWS , the words BALL OR ROLLER SCREWS shall be substituted;

(b) in sub-heading No. 8483.40, in Column 3, for the words ball screws , the words ball or roller screws shall be substituted;

(xvii) in heading No. 84.84, in column (3), for the words SIMILAR PACKINGS , the words SIMILAR PACKINGS; MECHANICAL SEALS shall be substituted;

(54) In Chapter 85,

(i) in NOTE 4, for the portion beginning with the words The term and ending with the words connecting elements , the following shall be substituted, namely:

The expression printed circuits does not cover circuits combined with elements other than those obtained during the printing process, nor does it cover individual, discreet resistors, capacitors or inductances. Printed circuits may, however, be fitted with non-printed connecting elements. ;

(ii) after NOTE 6, the following NOTE and SUB-HEADING NOTE shall be inserted, namely:

7. For the purposes of heading No. 85.48, spent primary cells, spent primary batteries and spent electric accumulators are those which are neither usable as such because of breakage, cutting-up, wear or other reasons, nor capable of being recharged.

SUB-HEADING NOTE

Sub-heading Nos. 8519.92 and 8527.12 cover only cassette-players with built-in amplifier, without built-in loudspeaker, capable of operating without an external source of electric power and the dimensions of which do not exceed 170 mm 100 mm 45 mm. ;

(iii) in heading No. 85.10, for the entry in column (3), the following entry shall be substituted, namely:

SHAVERS, HAIR CLIPPERS AND HAIR-REMOVING APPLIANCES, WITH SELF-CONTAINED ELECTRIC MOTOR ;

(iv) in heading No. 85.15, in column (3), for the words SINTERED METAL CARBIDES , the word CERMETS shall be substituted;

(v) in heading No. 85.22, for the entry in column (3), the following entry shall be substituted, namely:

PARTS AND ACCESSORIES SUITABLE FOR USE SOLELY OR PRINCIPALLY WITH THE APPARATUS OF HEADING Nos. 85.19 TO 85.21 ;

(vi) in heading No. 85.25, for the entry in column (3), the following entry shall be substituted, namely:

TRANSMISSION APPARATUS FOR RADIO-TELEPHONY, RADIO-TELEGRAPHY, RADIO-BROADCASTING OR TELEVISION, WHETHER OR NOT INCORPORATING RECEPTION APPARATUS OR SOUND RECORDING OR REPRODUCING APPARATUS; TELEVISION CAMERAS; STILL IMAGE VIDEO CAMERAS AND OTHER VIDEO CAMERA RECORDERS ;

(vii) in heading No. 85.37, for the entry in column (3), the following entry shall be substituted, namely:

BOARDS, PANELS, CONSOLES, DESKS, CABINETS AND OTHER BASES, EQUIPPED WITH TWO OR MORE APPARATUS OF HEADING No. 85.35 OR 85.36, FOR ELECTRIC CONTROL OR THE DISTRIBUTION OF ELECTRICITY, INCLUDING THOSE INCORPORATING INSTRUMENTS OR APPARATUS OF CHAPTER 90, AND NUMERICAL CONTROL, APPARATUS, OTHER THAN SWITCHING APPARATUS OF HEADING No. 85.17 ;

(55) In SECTION XVII, for NOTE 4, the following NOTE shall be substituted, namely:

4. For the purposes of this section:

(a) Vehicles specially constructed to travel on both road and rail are classified under the appropriate heading of Chapter 87;

(b) Amphibious motor vehicles are classified under the appropriate heading of Chapter 87;

(c) Aircraft specially constructed so that they can also be used as road vehicles are classified under the appropriate heading of Chapter 88. ;

(56) In Chapter 87, in NOTE 2, the following paragraph shall be inserted, namely:

Machines and working tools designed for fitting to tractors of heading No. 87.01 as interchangeable equipment remain classified in their respective headings even if presented with the tractor, and whether or not mounted on it ;

(57) In Chapter 88,

(i) after the title of the Chapter, the following shall be inserted, namely:

SUB-HEADING NOTE

For the purposes of sub-heading Nos. 8802.11 to 8802.40, the expression unladen weight means the weight of the machine in normal flying order, excluding the weight of the crew and of fuel and equipment other than permanently fitted items of equipment. ;

(ii) in heading No. 88.02, for the entry in column (3), the following entry shall be substituted, namely:

OTHER AIRCRAFT (FOR EXAMPLE, HELICOPTERS, AEROPLANES); SPACECRAFT (INCLUDING SATELLITES) AND SUBORBITAL AND SPACECRAFT LAUNCH VEHICLES ;

(iii) in heading No. 88.04, for the entry in column (3), the following entry shall be substituted, namely:

PARACHUTES (INCLUDING DIRIGIBLE PARACHUTES AND PARAGLIDERS) AND ROTOCHUTES; PARTS THEREOF AND ACCESSORIES THERETO ;

(58) In Chapter 90,

(i) in NOTE 1, in clause (h), for the words, brackets and figures sound heads (heading No. 85.22); , the words, brackets and figures sound heads (heading No. 85.22); still image video camera and other video camera recorders (heading No. 85.25); shall be substituted;

(ii) in heading No. 90.10, in column (3), for the words APPARATUS FOR THE PROJECTION , the words APPARATUS FOR THE PROJECTION OR DRAWING shall be substituted;

(iii) in heading No. 90.25, sub-heading No. 9025.20 and the entries relating thereto shall be omitted;

(59) In Chapter 91,

(i) in heading No. 91.01

(a) in the portion occurring immediately after heading No. 91.01, in column (3), for the words Wrist-watches, battery or accumulator powered, whether or not incorporating a stop-watch facility. , the following words shall be substituted, namely:

-Wrist-watches, electrically operated, whether or not incorporating a stop-watch facility: ;

(b) in sub-heading No. 9101.91, for the entry in column (3), the following entry shall be substituted, namely:

-Electrically operated ;

(ii) in heading No. 91.02,

(a) in the portion occurring immediately after heading No. 91.02, in column (3), for the words -Wrist-watches, battery or accumulator powered, whether or not incorporating a stop-watch facility: the following words shall be substituted, namely:

-Wrist-watches, electrically operated, whether or not incorporating a stop-watch facility: ;

(b) in sub-heading No. 9102.91, for the entry in column (3), the following entry shall be substituted, namely:

-Electrically operated ;

(iii) in heading No. 91.03, in sub-heading No. 9103.10, for the entry in column (3), the following entry shall be substituted, namely:

-Electrically operated ;

(iv) in heading No. 91.05,

(a) in sub-heading No. 9105.11, for the entry in column (3), the following entry shall be substituted, namely:

-Electrically operated ;

(b) in sub-heading No. 9105.21, for the entry in column (3), the following entry shall be substituted, namely:

-Electrically operated ;

(v) in heading No. 91.09, in the portion occurring immediately after heading No. 91.08, in column (3), for the words Battery or accumulator powered , the following words shall be substituted, namely:

-Electrically operated: ;

(vi) in heading No. 91.09, in the portion occurring immediately after heading No. 91.09, in column (3), for the words -Battery or accumulator powered: , the following words shall be substituted, namely:

-Electrically operated; ;

(60) In Chapter 92, in heading No. 92.06, in column (3), for the words MARACCAS , the word MARACAS shall be substituted;

(61) In Chapter 95, in NOTE 1, for clause (m), the following clause shall be substituted, namely:

(m) Pumps for liquids (heading No. 84.13), fitting or purifying machinery and apparatus for liquids or gases (heading No. 84.21), electric motors (heading No. 85.01), electric transformers (heading No. 85.04) or radio remote control apparatus (heading No. 85.26); ;

(62) In Chapter 96, in heading No. 96.14, sub-heading No. 9614.10 and the entries relating thereto shall be omitted;

(63) In Chapter 97, for NOTE 3, the following NOTE shall be substituted, namely:

3. Heading No. 97.03 does not apply to mass-produced reproductions or works of conventional craftsmanship of a commercial character, even if these articles are designed or created by artists. .