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HeatGEN,Pune HeatGEN provides practical Support, Solutions for Installation, Commissioning, Maintenance and fuel conversion activities as well as customer training needs. The installation is carried out as per the high standards set by the principals.

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Here are the key highlights of the budget:

• Government Committed To Achieve Fiscal Deficit Of 4.1% For 2014-15.

• Subsidy Regime To Be Made More Targeted For Full Protection To The Marginalized, Poor And Sc/St.

• Government To Promote FDI Selectively In Sectors.

• Government Committed To Implement GST At The Earliest. Issues Raised By The States To Be Resolved

• Personal Income-Tax Exemption Limit Raised By Rs. 50,000;

• Investment Limit Under Section 80c Of Income-Tax Act Raised To Rs. 1.5 Lakh.

• Deduction Limit On Account Of Interest On Loan In Respect Of Self Occupied House Property Raised From Rs.1.5 Lakh To Rs.2 Lakh.

• Rs 1000 Crore Provided For “Pradhan Mantri Krishi Sinchayee Yojna”.

• Rs 500 Crore For “Deen Dayal Upadhyaya Gram Jyoti Yojana”.

• Rs. 150 Crores For Increasing Safety Of Women In Large Cities.

• “Swachh Bharat Abhiyan” To Cover Every Household With Sanitation Facility By The Year 2019.

• Development Of Industrial Corridors With Emphasis On Smart Cities Linked To Transport Connectivity.

• Scheme For Development Of New Airports In Tier I And Tier II Cities To Be Launched.

• Target Of NH Construction Of 8500 Km In Current Financial Year.

• Skill India To Be Launched To Skill The Youth With An Emphasis On Employability And Entrepreneur Skills.

• AIIMS Like Institutions In Andhra Pradesh, West Bengal, Vidarbha In Maharashtra And Poorvanchal In Up.

• 5 IIMs To Be Opened In Hp, Punjab, Bihar, Odisha And Rajasthan.

• Sustainable Growth Of 4% In Agriculture To Be Achieved.

• Rs.500 Crore “Price Stabilization Funds” For Mitigating The Risk Of Price Volatility In Agriculture Produce.

• A Further Sum Of Rs 1000 Crore To Meet Requirement For “One Rank One Pension”.

• Rs 200 Crore Provided For The Statue Of Unity(National Project).

• Rs 500 Crore Provided For Developing 5 Tourist Circuits Around Specific Themes.

• Rs 2037 Crores Provided For Integrated Ganga Conservation Mission “Namami Gange”.

• Rs 100 Crore For Ghat Development And Beautification At Kedarnath, Haridwar, Kanpur, Varanasi, Allahabad, Patna , Delhi.

• Rs. 200 Crore For Power Reforms And Rs. 500 Crore For Water Reforms To Make Delhi A Truly World Class City.

• Rs 500 Crore Provided To Support Kashmiri Migrants For Rebuilding Their Lives.

CUSTOMS

The fine-print of notifications are not available yet, but broadly specified in the attached list of notifications from Central Board of Customs & Excise.

Summarised are some of the implications that could be deciphered; excerpts below:

Chapter 72: Iron & Steel
Basic Customs Duty on stainless steel flat products (CTH 7219 and 7220) is being increased from 5% to 7.5%. S.No.334 of notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014

Chapter 73: Articles of iron & Steel
Basic Customs Duty is being reduced from 10% to 5% on forged steel rings used in the manufacture of bearings of wind operated electricity generators. Notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014 [new S.No.335A]

Chapter 74: Copper & Articles thereof
Full exemption from Basic Customs Duty is being provided on flat copper wire for use in the manufacture of PV ribbons (tinned copper interconnect) for solar PV cells or modules. Notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014 [new S.No.335B]

Chapter 75 to 83:
No change.

Chapter 84: Machinery & mechanical appliances
1. Basic customs duty at a concessional rate of 5% is being provided on machinery, equipments, etc. required for initial setting up of compressed biogas plant (Bio-CNG). Notification No.81/2005-Customs, dated 8th September, 2005 as amended by notification No.13/2014-Customs, dated 11th July, 2014 refers.
2. Basic customs duty and CVD on machinery, equipment, etc. required for initial setting up of solar energy production projects is being reduced to 5% and Nil respectively. Notification No.1/2011-Customs, dated 6th January, 2011 as amended by notification No.14/2014-Customs, dated 11th July, 2014 refers.
3. Full exemption from Special Additional Duty is being provided on parts and raw materials required for use in the manufacture of wind operated electricity generators. Notification No.21/2012-Customs, dated 17th March, 2012 as amended by notification No.21/2014-Customs, dated 11th July, 2014 [new S.No.14C] refers.

Chapter 85: Electrical / Electronic machinery & Equipment
1. Basic Customs Duty is being reduced from 5% to 2.5% on electrolysers and their parts/spares required by caustic soda or caustic potash units and membranes and their parts/spares required by industrial plants based on membrane cell technology. The BCD on other parts (other than membranes and parts thereof) is also being reduced from 7.5% to 2.5%. S.No.417 of notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014.
2. Basic Customs Duty on LCD and LED TV panels of below 19 inches is being reduced from 10% to NIL. S.No.432 of notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014.
3. Basic Customs Duty on colour picture tubes for manufacture of cathode ray TVs is being reduced from 10% to NIL. Notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014 [new S.No.432A].
4. Basic Customs Duty is being exempted on specified parts of LCD and LED panels for TVs. Notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014 [new S.No.432B].
5. Basic Customs Duty is being reduced from 7.5% to NIL on E-Book readers. Notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014 [new S.No.433A].
6. Basic Customs Duty on battery waste and battery scrap is being reduced from 10% to 5%. Notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014 [new S.No.433B].
7. Basic Customs Duty on specified telecommunication products not covered under the ITA (Information Technology Agreement) is being increased from NIL to 10%. Clause 87 of the Finance (No.2) Bill, 2014. Notification No.24/2005-Customs, dated 1st March, 2005 is being amended vide notification No.11/2014-Customs, dated 11th July, 2014 so as to exclude these specified tariff items, which will henceforth attract the tariff rate of basic customs duty of 10%. However, all goods required for the manufacture of the aforesaid telecommunication products would continue to enjoy the exemption from basic customs duty. Notification No.11/2014-Customs, dated 11th July, 2014 may be referred to for details.
8. Special Additional Duty (SAD) on all inputs/components used in the manufacture of Personal Computers (laptops/desktops) and tablet computers is being exempted, subject to actual user condition. Notification No.21/2012-Customs, dated 17th March, 2012 as amended by notification No.21/2014-Customs, dated 11th July, 2014.
9. The exemption from education cess and secondary and higher education (SHE) cess leviable on CVD is being withdrawn on certain electronic goods. Notifications No.13/2012-Customs and No.14/2012-Customs, both dated the 17th March, 2012 as amended vide notifications No.18/2014-Customs and notification No.19/2014-Customs, both dated 11th July 2014, respectively refer.
10. Full exemption from Special Additional Duty (SAD) is being provided on specified inputs (PVC sheet & Ribbon) used in the manufacture of smart cards. Notification No.21/2012-Customs, dated 17th March, 2012 as amended by notification No.21/2014-Customs, dated 11th July, 2014.

Chapter 90-98:
1. Director (Electrical) is being authorized to issue the requisite certificate to enable Delhi Metro Rail Corporation to avail of Nil BCD and Nil CVD benefits in respect of their Phase-1 and Phase-2 projects instead of Director (Rolling Stock, Electrical & Signalling) at present. S.No.354 (condition no.40) of notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014.
2. CVD exemption on portable X-ray machine / system is being withdrawn. S.No.20 of notification No.39/96-Customs, dated 23rd July, 1996 as amended by notification No.20/2014-Customs, dated 11th July, 2014 and notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Customs, dated 11th July, 2014 [new S.No.490A] refer.
3. State Governments concerned are being notified as sponsoring authority for Metro Rail Projects covered under the Project Import Regulations, 1986. Notification No.23/86-Customs, dated 3rd April, 1986 as amended vide notification No.25/2014-Customs, dated 11th July, 2014.

Baggage Rules
Baggage Rules are being amended to,-
i. raise the free baggage allowance from Rs.35,000 to Rs.45,000.
ii. reduce the duty free allowance of ci******es from 200 to 100, of ci**rs from 50 to 25 and of to***co from 250 gms to 125 gms.
Notification No.30/98-Customs (NT) dated 2nd June, 1998 as amended vide notification No.50/2014-Customs (NT), dated 11th July, 2014 may be referred to for details.

EXCISE

Chapter 72: No Change

Chapter 73
Excise duty is being reduced from 12% to Nil on forged steel rings used in the manufacture of bearings of wind operated electricity generators. Notification No.12/2012-Central Excise, dated 17th March, 2012 as amended vide notification No.12/2014-Central Excise dated 11th July, 2014 [new S.No.211A].

Chapter 74
1. Full exemption from excise duty is being provided on flat copper wire used in the manufacture of PV ribbons (tinned copper interconnect) for use in the manufacture of solar cells or modules. Notification No.12/2012- Central Excise dated 17th March, 2012 as amended vide Notification No.12/2014-Central Excise dated 11th July, 2014 [new S.No.215A].
2. Excise duty on winding wires of copper is being increased from 10% to 12%. S.No.346 of notification 12/2012- Central Excise, dated 17th March, 2012 as amended vide notification No.12/2014-Central Excise dated 11th July, 2014

Chapter 75-76: No Change

Chapter 77-84:
1. Excise duty on machinery for the preparation of meat, poultry, fruits, nuts or vegetables, and on presses, crushers and similar machinery used in the manufacture of wine, cider, fruit juices or similar beverages and on packaging machinery is being reduced from 10% to 6%. Notification No.12/2012-Central Excise, dated 17th March, 2012 as amended vide notification No.12/2014-Central Excise dated 11th July, 2014 [new S.No.241B, 245A and 245B].
2. Full exemption from excise duty is being granted in respect of machinery, equipments, etc. required for initial setting up of solar energy production projects. Notification No.15/2010- Central Excise, dated 27th February, 2010 as amended vide notification No.15/2014-Central Excise dated 11th July, 2014.
3. Full exemption from excise duty is being provided on machinery, equipments, etc. required for initial setting up of compressed biogas plant (Bio-CNG). Notification No.33/2005- Central Excise, dated 8th September, 2005 as amended vide notification No.14/2014-Central Excise dated 11th July, 2014.
4. Excise duty on hand operated sewing machine (2% without CENVAT / 6% with CENVAT) is being rationalized by levying concessional excise duty on sewing machines other than those operated with electric motors (whether in-built or attachable to the body). S.No.97 of notification No.1/2011- Central Excise, dated 1st March, 2011 as amended vide notification No.8/2014-Customs, dated the 11th July 2014 and S.No.58 of notification No.2/2011- Central Excise, dated 1st March, 2011 as amended vide notification No.9/2014-Customs, dated the 11th July 2014.

Chapter 85:
1. Excise duty on Metal Core PCB and LED driver for use in the manufacture of LED lights and fixtures and LED lamps is being reduced from 12% / 10% to 6%. Notification No.12/2012-Central Excise, dated 17th March, 2012 as amended vide notification No.12/2014-Central Excise dated 11th July, 2014 [new S.No.321A].
2. Full exemption from excise duty is being provided to parts consumed within the factory of production for the manufacture of non-conventional energy devices, and when such use in elsewhere than in the factory of production, the exemption is being allowed subject to actual user condition. Notification No.12/2012- Central Excise dated 17th March, 2012 as amended vide notification No.12/2014-Central Excise dated 11th July, 2014 [new S.No. 332A].
3. Excise duty on recorded smart cards is being increased from 2% without CENVAT and 6% with CENVAT to a uniform rate of 12%. Accordingly, S.No.104 is being omitted from notification No.1/2011- Central Excise, dated 1st March, 2011 and S.No.63 from notification No.2/2011-Central Excise, dated 1st March, 2011. In this connection, notifications No.8/2014-Central Excise and No.9/2014-Central Excise, both dated the 11th July 2014 and S.No.346 of notification No.12/2012-Central Excise dated 17th March, 2012 as amended vide notification No.12/2014-Central Excise dated 11th July, 2014.

Chapter 88-96: No Change

Miscellaneous:
1. Full exemption from excise duty is being provided to reverse osmosis (RO) membrane element for water filtration or purification equipment (other than household type filter). Notification No.12/2012-Central Excise, dated 17th March, 2012 as amended vide notification No.12/2014-Central Excise dated 11th July, 2014 [new S.No.239A].
2. Excise duty on RO membrane element used in household type filters is being reduced from 12% / 10% to 6%. Notification No.12/2012-Central Excise, dated 17th March, 2012 as amended vide notification No.12/2014-Central Excise dated 11th July, 2014 [new S.No.241A].
3. Director (Electrical) is being authorized to issue the requisite certificate to enable Delhi Metro Rail Corporation to avail of Nil excise duty benefit in respect of their Phase-1 and Phase-2 projects instead of Director (Rolling Stock, Electrical & Signalling) at present. S.No.333 (ii) of notification No.12/2012-Customs, dated 17th March, 2012 as amended by notification No.12/2014-Central Excise, dated 11th July, 2014. Condition 48 contains the change.
4. Full exemption from excise duty is being provided on specified HIV/AIDS drugs and diagnostic kits supplied under National AIDS Control Programme (NACP) funded by the Global Fund to Fight AIDS, TB and Malaria (GFATM). Notification No.13/2014-Central Excise dated 11th July, 2014.
5. Full exemption from Excise Duty is being provided to goods supplied to National Technical Research Organisation (NTRO). Notification No.64/95-Central Excise, dated 16th March, 1995 as amended vide notification No.10/2014-Central Excise dated 11th July, 2014.
6. Plants & Equipment supplied prior to 2008 for use in projects financed by the UN or an international organization, which hitherto could not be transferred / sold out of the project site, are now being allowed to be transferred / sold from the project site subject to the conditions specified therein. Notification No.108/95-Central Excise, dated the 28th August, 1995 as amended vide notification No.11/2014-Central Excise, dated the 11th July 2014.
7. Intermediate goods manufactured and consumed captively for further manufacture of matches is being fully exempted. Notification No. 67/95-CE dated 16th March, 1995 as amended by Notification No.19/2014- Central Excise, dated the 11th July 2014.
8. Education cess and secondary & higher education cess (customs component) is being exempted on goods cleared by an EOU into the DTA. Notification No.23/2003-Central Excise dated 31.03.2003 as amended by notification No.18/2014-Central Excise dated 11th July, 2014 [new S.Nos.1A and 1B].
9. S.No.140 of notification No.49/2008-Central Excise (NT) dated 24th December, 2008 is being amended vide notification No.17/2014-Central Excise (NT) so as to specify the tariff item 8421 99 00 in column (2) relating to replaceable kits of water filters functioning without electricity.
10. Rule 8 of the Pan Masala Packing Machines (Capacity Determination and Collection of Duty) Rules, 2008 is being amended with retrospective effect from 13.04.2010 to provide that where a manufacturer manufactures pouches of different RSPs on a single machine in a month, the duty liability for that month would be the duty applicable to the highest of the RSP so manufactured. This will align the Pan Masala Packing Machines (Capacity Determination and Collection of Duty) Rules, 2008 with the Chewing To***co and Unmanufactured To***co Packing Machines (Capacity Determination and Collection of Duty) Rules, 2010 with regard to manufacture of pouches of different RSPs on a single machine under the compounded levy scheme. Clause 101 of the Finance (No.2) Bill, 2014.

SERVICE TAX

Very briefly, the proposed changes (of significant relevance only) are discussed below under three broad categories:
1. Measures to widen the tax base
2. Measures for compliance enhancement; and
3. Facilitation measures.

Significant rationalization in Service tax on service portion in Works Contracts
In Rule 2A of the Service Tax (Determination of Value) Rules, 2006, category „B‟ and „C‟ of works contracts are proposed to be merged into one single category, with percentage of service portion as 70%; this change will come into effect from 1st October, 2014. This rationalization by way of merger of categories has been made to avoid disputes of classification between these two categories. [Notification No.11/2014-ST].

Variable rates of Interest:
To encourage prompt payment of service tax, it is being proposed to introduce interest rates which would vary on the extent of delay [Notification No.12/2014-ST]. Simple interest rates per annum payable on delayed payments under section 75, are prescribed as follows:
• Extent of delay: Up to six months
• Simple interest rate per annum: 18%
• More than six months & upto one year: 18% for first six months, and 24% for the period of delay beyond six months
• More than one year: 18% for first six months, 24% for second six months, and 30% for the period of delay beyond one year

This new interest rate regime will become operational only on 1st October 2014. In other words, upto 1st October, 2014, the rate of interest of 18%, presently applicable, will continue to apply. The variable interest rates will apply only on or after 1st October, 2014.

Service Tax Rules: [changes to have immediate effect]:
Service provided by a Director to a body corporate is being brought under the reverse charge mechanism; service receiver, who is a body corporate will be the person liable to pay service tax. This is in view of requests by body corporates such as the Reserve Bank of India.

Place of Provision of Services Rules: [changes to take effect from 1st October, 2014].
1. Provision for prescribing conditions for determination of place of provision of repair service carried out on temporarily imported goods is being omitted. The second proviso to rule 4(a) is being amended to prescribe that it would suffice for the purpose of exclusion of repair service from applicability of rule 4(a) that the goods imported for repair are exported after repair without being put to any use other than that which is required for such repair.
2. The definition of intermediary is being amended to include the intermediary of goods in its scope. Accordingly, with effect from 1.10.2014, an intermediary of goods, such as a commission agent or consignment agent shall be covered under rule 9(c) of the Place of Supply of Services Rules.

Point of Taxation Rules: [Notification No.13/2014-ST]
The first Proviso to rule 7 of the Point of Taxation Rules (POTR) is being amended to provide that point of taxation in respect of reverse charge will be the payment date or the first day that occurs immediately after a period of three months from the date of invoice, whichever is earlier. This amendment will apply only to invoices issued after 1st October, 2014. A transition rule is being prescribed (new rule 10 of POTR).

CENVAT Credit Rules: [Notification No.21/2014-CE (N.T.)]
1. A manufacturer or a service provider shall take credit on inputs and input services within a period of six months from the date of issue of invoice, bill or challan w.e.f. 1st September,2014 [ newly inserted proviso to rule 4 (1) and fifth proviso to rule 4(7) refer]
2. In case of service tax paid under full reverse charge, the condition of payment of invoice value to the service provider for availing credit of input services is being withdrawn. However, there is no change in respect of partial reverse charge. [Refer amended proviso to rule 4(7)].
3. Re-credit of CENVAT credit reversed on account of non-receipt of export proceeds within the specified period or extended period, to be allowed, if export proceeds are received within one year from the period so specified or extended period. This can be done on the basis of documents evidencing receipt of export proceeds [Refer the newly inserted proviso to rule 6(8)].

LEGISLATIVE CHANGES

Only relevant highlights being shared hereunder

CUSTOMS & EXCISE

1. Tariff item 2402 20 60 is being omitted as a consequential change to amendment in the First Schedule to the Central Excise Tariff Act.
2. The tariff rate of basic customs duty on goods falling under tariff items 8517 62 90 and 8517 69 90 is being increased from Nil to 10%.
3. The unit quantity code against certain entries is being changed.
4. The changes at 1) and 2) will come into effect immediately owing to a declaration under the Provisional Collection of Taxes Act, 1931. Clause 87 of the Finance (No.2) Bill, 2014 refers.

MATTERS OF LITIGATION
1. Section 35B(1) is being amended so as to increase the discretionary powers of the Tribunal to refuse admission of appeal from the existing Rs.50,000 to Rs.2 lakh.
2. Section 35F is being substituted with a new section to prescribe a mandatory fixed pre-deposit of 7.5% of the duty demanded or penalty imposed or both for filing appeal with the Commissioner (Appeals) or the Tribunal at the first stage and another 10% of the duty demanded or penalty imposed or both for filing second stage appeal before the Tribunal. The amount of pre-deposit payable would be subject to a ceiling of Rs.10 crore.
3. Section 35L is being amended so as to clarify that determination of disputes relating to taxability or excisability of goods is covered under the term „determination of any question having a relation to rate of duty‟ and hence, appeal against Tribunal orders in such matters would lie before the Supreme Court

Amendments in the CENVAT Credit Rules, 2004:
1. Rule 12A is being amended so as to disallow transfer of credit by a large taxpayer from one unit to another.
2. A new sub-rule (qa) is being inserted in Rule 2 to introduce the definition of „place of removal‟.
3. Rule 4(1) (for input credit) and Rule 4(7) (for input service credit) are being amended in order to fix a time limit of six months for availment of the CENVAT Credit.
Notification No.23/2004-Central Excise (NT) dated 10th September, 2004 as amended vide notification No.21/2014-Central Excise dated 11th July, 2014

Amendments in the Central Excise Valuation Rules, 2004:
• The Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000 is being amended so as to provide that in cases where excisable goods are sold at a price below the manufacturing cost and profit and there is no additional consideration flowing from the buyer to the assessee directly or from a third person on behalf of the buyer, value for the assessment of duty shall be deemed to be the transaction value.
Notification No.45/2000-Central Excise (NT) dated 30th June, 2000 as amended vide notification No.20/2014-Central Excise dated 11th July, 2014 refers.

Unit Quantity Codes
The Schedules to the Customs and Central Excise Tariffs are being amended in respect of selected goods to match the Unit Quantity Codes prescribed therein with the ones that are actually used in trade and commerce. This would facilitate trade and improve data quality and compliance.

Lowering NOx emission

For application where ultra Low NOx emission is a requirement or for application where operation of standard Low NOx burner is not visible Weishaupt provides FGR system to meet these challenges

Flue Gas Recirculation: By using induced FGR system and "state-of-the-art" burner heads, it is possible to meet very strict NOx requirements.

Results guaranteed: With precision controlled FGR system results in excellent performance, good turndown, high efficiency and guaranteed NOx levels.

Alternative system: FGR is an alternative to multiflam burners where combustion chamber dimensions are tighter.

Low NOx levels: Depending on combustion chamber design, dimensions and media temperatures, the NOx levels can be as low as 20 ppm corrected at 3% O2.

Components included: Burners with FGR include the following
components: Induced FGR fl**ge, system damper, actuator, gaskets, slip on fl**ges and system controller

Weishaupt. That's reliability.

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Dungs MB-ZRDLE 407 B01 S50

The DUNGS GasMultiBloc® integrates filter, regulator, valves and pressure switches in one compact fitting.

FEATURES

• Dirt trap microfilter

• One regulator and two valves:B01

• One valve is fast opening, one valve is slow or fast opening

• One one-stage valve and one two-stage valve

• Solenoid valves up to 360 mbar (36 kPa) as per DIN EN 161 Class A Group 2

• Sensitive setting of output pressure by proportional regulator as per DIN EN 88 Class A Group 2

• High flow rates with low pressure drop

• DC solenoid drive interference degree N

• Main volume restrictor and partial volume restrictor at valve V2

• Hydraulic opening delay

• Fl**ge connections with pipe threads as per ISO 7/1

• Simple mounting, compact, lightweight

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