#THE PROVISIONAL COLLECTION OF TAXES ACT, 2023 
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##ARRANGEMENT OF SECTIONS 
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SECTIONS. 

1. Short title. 
2. Definition. 
3. Power of Central Government to make declaration. 
4. Effect of declarations under this Act, and duration thereof. 
5. Refunds to be made in certain cases. 
6. Repeal. 

 
 
#THE PROVISIONAL COLLECTION OF TAXES ACT, 2023 

##ACT NO. 50 OF 2023 

[28th December, 2023.] 

An  Act  to  provide  for  the  immediate  effect  for  a  limited  period  of  provisions  in  Bills  relating  to  the 
  imposition or increase of duties of customs or excise. 

BE it enacted by Parliament in the Seventy-fourth Year of the Republic of India as follows:— 

1. **Short title.**— This Act may be called the Provisional Collection of Taxes Act, 2023. 

2. **Definition.**—In  this  Act,  a  “declared  provision”  means  a  provision  in  a  Bill  in  respect  of  which  a 
declaration has been made under section 3. 

3. **Power of Central Government to make declaration.**—Where a Bill to be introduced in Parliament 
on behalf of the Government provides for the imposition or increase of a duty of customs or excise with or 
without  change  in  tariff  classification,  the  Central  Government  may  cause  to  be  inserted  in  the  Bill  a 
declaration that it is expedient in the public interest that any provision of the Bill relating to such imposition 
or increase shall have immediate effect under this Act. 

4. **Effect of declarations under this Act, and duration thereof.**— (1) A declared provision shall have 
the force of law immediately on the expiry of the day on which the Bill containing it is introduced. 

(2) A declared provision shall cease to have the force of law under the provisions of this Act— 

  (a) when it comes into operation as an enactment, with or without amendment; 

  (b) when  the  Central  Government,  in  pursuance  of  a  motion  passed  by  Parliament,  directs,  by 
notification in the Official Gazette, that it shall cease to have the force of law; or 

  (c) if  it  has  not  already  ceased  to  have  the  force  of  law  under  clause  (a)  or  clause  (b),  then  on  the 
expiry of the seventy-fifth day after the day on which the Bill containing it was introduced. 

5. **Refunds to be made in certain cases.**—(1)  Where  a  declared  provision  comes  into  operation  as  an 
enactment  in  an  amended  form  before  the  expiry  of  the  seventy-fifth  day  after  the  day  on  which  the  Bill 
containing  it  was  introduced,  refunds  shall  be  made  of  all  duties  collected  which  would  not  have  been 
collected if the provision adopted in the enactment had been the declared provision: 

  Provided that the rate at which refunds of any duty may be made under this sub-section shall not exceed 
the difference between the rate of such duty proposed in the declared provision and the rate of such duty in 
force when the Bill was introduced. 

(2) Where a declared provision ceases to have the force of law under clause (b) or clause (c) of 
sub-section  (2)  of  section  4,  refunds  shall  be  made  of  all  duties  collected  which  would  not  have  been 
collected if the declaration in respect of it had not been made. 

6. **Repeal.**— The Provisional Collection of Taxes Act, 1931(16 of 1931) is hereby repealed. 