14 March 2013
In respect of samples drawn by the officers of the Central Excise Department for ascertaining the identity of goods/its classification or any other official purposes relating to Central Excise, the cost of samples may be reimbursed on manufacturer’s request out of the contingency by the divisional officer. The cost of the containers required for drawl of samples may not be much and if the same cannot be borne by the assessee through persuasion the same should be borne by the Department.
The samples can be categorized, as follows:
Trade samples sent to customers for trial; Samples for test purposes; Samples for supply against sale contracts or for enforcement of control measures; Samples for display at exhibitions, fairs and in show-cases; and Samples for market inquiries by Central Excise Officers.
Procedure for testing and re-testing of samples drawn by the Department ------------------------------------------
Except where there are special instructions for particular kind of samples, the representative samples from such or any lot must be drawn in quadruplicate in the presence of the owner/manager of the factory or his representatives. The quantities of excisable goods or materials taken for testing should be the minimum necessary for testing and the Commissioner will, in consultation with the Chemical Examiner concerned, specify for each kind of excisable goods or materials the size of samples for this purpose. The samples should be sealed with Excise seals and a declaration obtained from the owners (manufacturers) to the effect that the samples drawn are representative of the lot. The assessee, if he so desires, may also be permitted to affix his seal on the samples. The four samples drawn for test should be clearly marked as:' Original for Chemical Examiner (to be despatched to him along with the declaration and the relative test memorandum under intimation to the Assistant/Deputy Commissioner concerned). Duplicate to be sent to the Deputy/Assistant Commissioner of Central Excise (to be forwarded to him for safe custody for further use in case a dispute arises). Triplicate for Range Officer (to be retained for any future reference or to cover loss by post or other emergency). Quadruplicate to be given to the manufacturer (for his own record).
Before despatch of sample to the Deputy/Assistant Commissioner of Central Excise and the Chemical Examiner, the samples should be packed properly, sealed and marked in such a way that they suffer no loss or deterioration in transit or subsequent storage. The Chemical Examiner after test, will return the remnant sample, if fit for re-test and not in other cases, together with his test report, to the Assistant Commissioner concerned. The Chemical Examiner will be in position to indicate whether or not a remnant is fit for re-test and the Deputy/Assistant Commissioner of Central Excise or other adjudicating authority will in most cases be able to anticipate whether the assessee will demand a re-test or not. The test results should be speedily communicated to the Assessee.
The Department shall carefully preserve the remnant sample.
Whenever the assessee is dissatisfied with the test carried out by the Chemical Examiner he can apply to the Deputy/Assistant Commissioner of Central Excise concerned, after payment of the prescribed test fees, for a retest within 90 days from the date on which the test result was communicated to the him.
Where the remnant sample is available in sufficient quantity in its original state, re-test should ordinarily be on such remnant sample. Where such remnant sample was received from the Chemical Examiner but it is not in sufficient quantity or in original state, or where the party concerned desires, for one or the other reasons, a re-test on duplicate or triplicate sample, Deputy/Assistant Commissioner of Central Excise, the adjudicating authority or, as the case may be, the appellate authority should pass an appropriate order for re-test on duplicate or triplicate sample.
Where an assessee requests for re-test in a laboratory other than a Control Laboratory (hereinafter in this paragraph referred to as "outside laboratory") whether on the remnant or the duplicate or triplicate sample, such request may be allowed for testing the sample from an outside Government or Semi-Government laboratory with the prior permission of the Commissioner or the Appellate or the Reversionary authority, as the case may be after Chief Chemist has confirmed that the departmental laboratories do not have the facilities for performing the particular test in question. The request for re-test in outside laboratories will be conditional upon the party concerned meeting the cost of the re-test.
It is always open to the assessee concerned to get the authenticated sample, in its possession, analysed in any laboratory of his own choice and submit the findings of such laboratory for due consideration on merits of each case, by the appropriate adjudicating/appellate authority. However, the assessee should ensure that the laboratory which analyses the samples indicates clearly in its test report the full particulars of the samples and whether the central excise seals affixed to the samples were intact or not at the time of its receipt by such laboratory.
The payment of a fee for re-test does not entitle the assessee to a copy of chemical report. The result of any such retest must however be communicated to the owner at the earliest. Where a copy of the test report is to be furnished to the assessee at its request, the Department shall have the option to provide only a concise, edited) form of the Test Report. The editing of the Test Report should be done in consultation with the Chemical Examiner. For the purpose of market enquiries regarding the value of excisable goods, samples can be drawn by Central excise Officer on written order of the Deputy/Assistant Commissioner of Central Excise, on returnable basis. There is no need to make any issue entries in Daily Stock Account for such samples as the same are to be returned to the factory. The Range Officer should maintain a simple account showing the date of taking the sample, quantity taken and date of return. There should be proper acknowledgement of drawl and return of sample. The officer who draws sample, will also give acknowledgement to the assessee and take acknowledgement when he returns the sample. Clearance of model/proto-type without payment of duty for trial etc.
Where a finished excisable goods falling in the category of model/proto-type are to be sent out for trail purposes by actually putting them to effective use after conducting certain test to ensure that they meet with certain standard/specified norm, clearance may be allowed on payment of duty. Their subsequent return to the factory may be regulated in terms of rule 21 of the said Rules. Samples drawn at the time of export of goods
Three sets of samples are drawn at the time of examination or sealing of export goods. Two sets of samples, duly sealed, are handed over by the Central Excise Officer examining the consignment to the exporter or his authorised agent for delivery to the Custom Officer at the point of export. The Central Excise Officer for his record retains the third set of sample.
The Customs Officer will check the export goods with the sample before allowing export. The samples shall be dealt with in accordance with instructions/standing orders of the Board or the Commissioner of Customs.
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