By TIOL News Service

NEW DELHI, MAR 01, 2015: THE first section of the CEA, 1944 that sought an amendment by the Finance Bill, 2015 is section 3A.

Clause 90 of the Finance Bill, 2015 mentions -

"In the Central Excise Act, 1944, in section 3A, after Explanation 2, the following Explanation shall be inserted, namely:-

'Explanation 3. - For the purposes of sub-sections (2) and (3), the word "factor" includes "factors".'

Incidentally, section 13 of the General Clauses Act, 1897 reads -

13. Gender and number. - In all Central Acts or Regulations, unless there is anything repugnant in the subject or context, -

(1)  words importing the masculine gender shall be taken to include females; and

(2) words in the singular shall include the plural, and vice versa.

In this view of the matter, it is surprising to note that the plural of "factor" had to be brought into section 3A of the CEA, 1944 as an Explanation.

The TRU-I letter while making a reference to this amendment states - …is being amended so as to insert an Explanation to provide that factor relevant to production includes factors relevant to production, so as to enable the Central Government to specify more than one facto r relevant to the production of such goods.

Or is it a case of being extra cautious?

Please note that this amendment will come into effect immediately owing to a declaration made under the Provisional Collection of Taxes Act, 1931.

This means that somewhere a factor is in deep trouble!

By the way, also see notifications 5/2015-CE, 6/2015-CE & 4/2015-CE(NT), 5/2015-CE(NT), all dated 01.03.2015.