Page 181 - DCOM308_DCOM502_INDIRECT_TAX_LAWS

Indirect Tax Laws

Notes of goods laid down in sub-rule (3) of rule 224 shall apply to the clearance of such goods in the
same manner and to the same extent as they apply to all other goods in the warehouse, and any
quantity of such goods remaining uncleared at the end of the period of restriction shall be
cleared on the day immediately following the date of expiry of such period and where any such
goods are not likely to deteriorate the Central Board of Excise and Customs may, on application,
permit the goods to remain for such extended period as it may specify if it is satisfied that the
period allowed by the Commissioner under the aforesaid provisions is inadequate under the
circumstances of the case.

Goods in private warehouse to be cleared on cancellation of Registration Certificate

Notwithstanding anything contained in rule 145, when the Registration Certificate for any
private warehouse is cancelled, and the registration authority gives notice of such cancellation
to the registered person of such warehouse, the registered person shall in manner hereinafter
provided and within fourteen days from the date on which such notice is given or such extended
time as the registration authority may in his discretion allow, remove such goods to a public
warehouse, or sell them to the registered person of another private warehouse, or clear them for
home consumption after payment of duty in the manner provided in rule 157, or export them in
bond as provided in rule 13 or rule 14.

Mode of calculating quantity of goods warehoused

The quantity of goods contained in any package warehoused may be calculated by weight,
measure, gauge, or in such other manner as the Central Board of Excise and Customs may direct.

Power to remit duty on warehoused goods lost or destroyed

If any goods lodged in a warehouse are lost or destroyed by unavoidable accident, the
Commissioner may in his discretion remit the duty due thereon:
Provided that if any goods be so lost or destroyed in a private warehouse, notice thereof shall be
given to the officer-in-charge of the warehouse within forty-eight hours after the discovery of
such loss or destruction.

Responsibility of warehouse-keeper

The warehouse-keeper in respect of goods lodged in a public warehouse, and the registered
person of the warehouse, in respect of goods lodged in a private warehouse, shall be responsible
for their due reception thereon and delivery there from and for their safe custody while deposited
therein, according to the quantity or weight reported by the officer who has assessed the goods,
allowance being made, if necessary, for wastage and losses as provided in rule 223A.
Compensation for loss or damage. - Provided that no owner of goods shall be entitled to claim
from the Commissioner, or from any keeper of a public warehouse, compensation for any loss
or damage occurring to the goods while they are being passed into or out of such warehouse,
unless it is proved that such loss or damage was occasioned by the wilful act or neglect of the
warehouse-keeper or of an officer.
Destruction of unusable material, waste and other refuse. - Every owner of the goods stored in
a warehouse who wishes to claim immunity from duty in respect of any goods unfit for
consumption or manufacture shall destroy them in the presence of an officer or shall show to the
satisfaction of the officer that they are being applied to some purpose which render them
eligible for remission of duty.

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