Section 174 of CGST Act, 2017 : Section 174: Repeal And Saving

Explanation using Example

Imagine a manufacturing company, 'XYZ Pvt Ltd.', that was subject to excise duty under the Central Excise Act, 1944 for the products they produced. With the commencement of the Central Goods and Services Tax (CGST) Act, 2017, the Central Excise Act was repealed for most goods. However, XYZ Pvt Ltd. had an ongoing dispute regarding excise duty for the period before the CGST Act was implemented.

Despite the repeal of the Central Excise Act, under Section 174 of the CGST Act, XYZ Pvt Ltd.'s dispute would not be affected. This means that:

• The dispute proceedings would continue as if the Central Excise Act was still in effect.
• Any excise duty, fines, or penalties that were due from XYZ Pvt Ltd. for the period before the CGST Act could still be collected.
• If XYZ Pvt Ltd. had any pending appeals or reviews regarding the excise duty, those proceedings would carry on under the provisions of the old Central Excise Act.
• The rights or liabilities of XYZ Pvt Ltd. under the Central Excise Act would not be extinguished by the repeal of the Act.

Therefore, XYZ Pvt Ltd. would need to resolve their past obligations under the old excise law, even though it has been repealed and replaced by the CGST Act for future transactions.