Section 66 in The Medicinal And Toilet Preparations (Excise Duties) Rules, 1955
66. Classification of preparation containing self-generated alcohol for purposes of levy of duty.
- No duty shall be levied on Ayurvedic preparations containing self-generated alcohol in which the alcoholic content does not exceed 2 percent proof spirit. Where the percentage of proof spirit is in excess of 2 percent duty will be leviable under item 2(ii) or 2(i) of the Schedule to the Act according as the preparations are capable of being consumed as ordinary alcoholic beverage or not:Provided that Ayurvedic practitioner registered under any law for the time being in force in any State where there is no such registration of Ayurvedic practitioners, such practitioners, as are proved to satisfaction of the Excise Commissioner to be of good standing, shall be allowed to manufacture and dispense Ayurvedic preparations, excepting those prepared by distillation or by addition of alcohol as such during the process of manufactured or to the finished product, free of duty subject to the following conditions :(a)Practitioners shall take out licence on payment of fee of Re.1 in the manner hereinafter stated;(b)such preparations shall be used only for the patients of the practitioners and shall not be for sale to the general public;(c)the practitioner shall allow drawing of samples by Excise Officer to ensure that the preparations contain only self-generated alcohol; and(d)daily account shall be maintained of all the preparations manufactured and dispensed giving particulars of names and addresses of the patients of the practitioners.
