08 December 2010
Coal Mines (Conservation & Development) Act. (CCDA) 1974 was enacted soon after the Nationalization of Coal Industry with the objective of providing conservation of coal and development of coal mines in the country. Under Section 6 of the Act, an Excise duty (commonly termed as Stowing Excise Duty or SED) is levied on the coal dispatched at rates, not acceding Rs. 10 per tonne. The current rate of SED is Rs. 10 per tonne to be paid to the Coal Controller Organization. In each financial year, SED so collected is reimbursed (as per norms) by the Central Government to different coal companies based on the expenditure incurred on the work executed for undertaking stowing, protective works and infrastructure development jobs.
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