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THE LUXURY TAX ON TOBACCO (VALIDATION) ACT, 1964
(Act 9 of 1964)
Preamble.
Sections
1. Short title and e:xtent.
2. Definitions.
3. Charge of luxury tax.
4. Power to make rule~.
5. Validation. CoNTENTs
6. Recovery of hcence fees refunded.
7. Repeal. THE ScHEDULE
THE LUXURY TAX ON TOBACCO (VALJDATION) ACT. 1964
(Act 9 of 1964) * An Act to provtde (01 the lwy of a luxury tax on tobacco for the petzod bcgznnmg Uilth the 17th day of August, 1950 and endmg on the 31st day of December, I 9.) 7, and the valtdatzon of the levy and collectzon oj (res for lzcences )or the vend and stockmg of tobacco for the aforesazd penod. Preamblr.-WHEREAS it is expedient to provide for the levy of a luxury tax on tobacco for the period beginning with the I 7th day of August, 1950 and ending on the 31st day of December, 1957, and the validation of the levy and collection of fees for licence~ for the vend and stockmg of tobacco for the aforesaid period ;
BE it enacted in the Fifteenth Year of the Republic of India as follows:-
1. Short tttle and cxlent.-(1) This Act may be called the Luxury Tttx on Tobacco (Validation) Act, 1964.
(2) It extends to the whole of the State of Ker ala excluding the Malabar district referred to m sub-sect10n (2) of section 5 of the States Reorganisation Act, 1956.
2. Defzmtions.-In this Act, unless the context otherwise reqmres,-
(z) "prescribed" means prescribed by rules made by the Government under this Act ;
(ll) "tobacco., mcludes kaf of the tobacco plant, snuff, cigars, cigaiettes, beedies, beedi tobacco, tobacco powder and other prepara- tions or admixtures of tobacco.
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* Pubhshed in the Gazette Extraordinary dated 4th March, 1964. Received the assent of tht: President on the 3rd day of March, 1964 For Statement of Objects and Reasons-See Gazette Extraordinary dated 12th February, 1964.
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3. Charge of luxury tax.-For the period beginning with the 17th day of Au~ust, 1950 and ending on the 31st day of December, 1957, every person vending or stocking tobacco within any area to which this Act extends shall be liable and shall be deemed always to have been liable to pay a luxury tax on such tobacco in the form of a fee for licence for the vend and stocking of the tobacco, at such rates as may be prescribed, not exceedmg the rates specified in the Schedule.
4. Power to make rules.- (I) The Government may, by notification in the Gazette, make rulrs to carry out the purposes of th1s Act.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for-
(t) the prohibition of the vending of tobacco except under a licence;
( zz) the issue of licences for the vend and stocking of tobacco and tl'e procedure therefor ;
(iu) the classification of licences and the rate at which tax in the form of a fee for licence may be levied for each class of licences ;
(iv) appeals from orders under the rules. •
(3) The rules and notifications specified below purported to have been issued under the Tobacco Act of I 087 (Travancore Act I of I 087) or the Cochin Tobacco Act, VII of 1084, as the case may be, in so far as they relate or purport to relate to the levy and collection of fees for licences for the vend and stockmg of tobacco, shall be deemed to be rules 1ssued under this section and shall be deemed to have been in force at all material times :-
(z) the Travancore Tobacco Rules dated 5th July, 1913, as amended by Notification No. £2-5937/49/RD dated 3rd August, 1950, published at pages I to 3 of the Gazette Extraordinary dated 3rd August, 1950 ;
(iz) the rules Issued under Notification No. E2-5937f49fRD dated 3rd August, 1950 and published at pages 3 to 5 of the Gazette Extraordmary dated 3rd August, 1950;
(m) the rules issued under Notification No. E2-5937f49/RD dated 25th January, 195 I, and published at pages 1 to I 0 of the Gazette Extraordinary dated 25th January, 1951, as a'llended from time to time;
(i11) the rules issued under Notification No. E2-5937 /49/RD dated 25th January, I 951, and published at pages I I to 20 of the Gazette Extraordinary dated 25th J anua1 y, 1951, as amended from time to time;
(v) the Notification No. E2-5937 /49/RD dated 23rd May• 1951, published at page 1210 of Part I of the Gazette dated 29th May, 1951; and
(vz) the Notification No. E2-5937f49/RD dated 23rd May, 1951, published at page 1211 of Part I ofthe Gazette dated ~9th May,
I 951.
5. Validation.-No withstanding any judgment, decree or order of any court, all fees for l.cences for the vend or stocking of tobacco levied or collected or purported to have been levied or collected under
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any of the rules or notifications specified in sub-section (3) of section 4 for the period beginning w1th the 17th day of August, 1950 and ending on the 31st day of December, 1957, shall be deemed to have been validly lev1ed or collected m accordance with law zs if this Act were in force on and from the 17th day of August, 1950 and the fees for licences were a luxury tax on tobacco lev1ed under the proviswns of thi~ Act, and accordingly,-
(a) no su1t or other proceeding shall be maintained or continued in any court for the refnnd of any fees paid or purported to have been pa1d under any of the said rules or notificatiOns; and
(b) no court shall enforce a decree or order d1rectmg the refund of any fees pa1d or purported to have been paid under any of the said rules or notifications.
6. Recovery of licence jl'es refunded.-Wherc any amount paid or purported to have been pa1d as a fee for hcence under any of the rules or notifications spec1fied in sub-section (3) of section 4 has been refunded after the 24th day of January, !962, and such amount would not have been liable to be refunded if ti11S Act had been in force on the date of the refund, the person to whom the refund was made shall pay the amount so refunded to the c1 edit of the Government in any Govern- ment treasury on or before the I 6th day of Ap1 II, !964, and, where such amount is not so paid, the amount may be recovered from him as an arrear of land revenue under the Reve11ue Recovery Act for the time being in force.
7. Repeal.-Thc Luxury Tax on Tobacco (Validation) Orclmance 1963 (Ordmance No. I of I 963), 1s hereby repealed. THE ScHEDULE
(See section 3)
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It~m No. Descriptwn
(I) Jaffna tobacco
(2) Tobacco produced in India (Unmanufactured)
(3) Beedi or/and beedi tobacco
(4) Tobacco preparations of all kinds
Rate of tax
Rs. I ,500 for the first I 00 candies or fractiOn thereof and Rs. I ,000 for every additional I 00 candies or fractiOn thereof per annum or part thereof.
Rs. I ,000 for the first 100 candies or fractiOn thereof and Rs. 750 for every additional 100 candtes 6r fraction thereof per annum or part thereof.
Rs. I ,000 for the first 25 candies or fraction thereof and Rs. 750 for every additional 25 candies or fraction thereof per annum or part thereof.
Rs. I ,000, prov1ded the value of the prepa1 at10ns does not exceed Rs. 20,000; and for every addi- tional quantity of the value of Rs. 20,000 or part thereof, Rs. 750 per annum or part thereof. ~r