EXCISE ORDINANCE

Arrangement of Sections

CHAPTER I

Preliminary

1. Short title.

2. In this Ordinance, unless there be something repugnant in the subject or context.

3. Power of Minister to exempt excisable articles from the provisions of this Ordinance.

4. Department of Excise Commission and other officers of Excise Department.

5. Saving of military and naval canteens.

CHAPTER II

Establishment and Control

6. The collection of the excise revenue to lie with the Government Agent.

7. There shall be appointed.

8. Powers of Minister.

9. Orders of Commissioner-General of Exercise or Government Agents, appealable to Minister.

CHAPTER III

Import, Export, and Transport

10. Import of excisable articles.

11. Export of excisable articles.

12. Import, export, and transport of excisable articles.

13. Pass required for import, export, and transport of excisable articles.

14. Passes for import, export, or transport.

CHAPTER IV

Manufacture, Possession, and Sale

15. Manufacture of excisable articles prohibited except under provisions of this Ordinance.

16. Establishment of distilleries, breweries, and warehouses.

17. Possession of excisable articles in excess of the quantity prescribed by Government, prohibited.

18. Sale of excisable articles without licence prohibited.

19. Exclusive manufacture may be granted.

19A. Power of Government Agent to take possession of premises for certain purposes.

20. Grantee of toddy privileges may grant licence.

21. Grantee may let or assign.

CHAPTER V

Duties on Excisable Articles

22. Duties may be imposed by the Minister by Order published in the Gazette.

23. How duty may be levied.

24. Payment for exclusive privileges.

CHAPTER VI

Licences

25. Form and conditions of licences.

26. Counterpart agreement to be executed by licensee.

27. Power to cancel or suspend licences.

28. Further power to cancel licences.

28A. Powers of Minister in respect of licences.

29. Surrender of licence.

CHAPTER VII

General Provisions

30. Certain licensees required to keep instruments.

31. Procedure in case of default by licensee or grantee of exclusive privilege.

32. Power to make rules.

CHAPTER VIII

Powers and Duties of Officers

33. Power to enter and inspect places of manufacture, bottling, and sale.

34. Powers of excise officers in matters of arrest and inquiry.

35. Cases in which offenders may be arrested, and contraband liquor and articles seized without warrant.

36. Government Agent or Magistrate may issue a search warrant.

37. Power of excise officers to search without a warrant.

38. Power to cut spadices of trees tapped without licence.

39. Release of arrested persons by excise officers.

40. Arrests, searches how to be made.

41. Offences to be bailable.

42. Officers of certain departments bound to report offences and to assist.

43. Landholders and others to give information.

44. Police to take charge of articles seized.

45. Closure of licensed premises.

CHAPTER IX

Penalties

46. Penalties for illegal import.

47. For illegal possession or transport.

48. For misconduct by licensee.

49. For excise officer refusing to do duty or being guilty of cowardice.

50. For offences not otherwise provided for.

51. Enhanced punishment after previous conviction.

52. Prosecution restricted.

53. Presumption as to commission of offence in certain cases.

54. What things liable to confiscation.

55. Confiscation how ordered.

56. Power to compound offences.

57. Offences to be summarily triable by Magistrates.

CHAPTER X

Miscellaneous

58. Ordinance does not apply to bonafide medicated articles.

58A. Excise Reward Fund.

58B. Payment to excise officers for special services and attendance.

59. Bar of actions.

60. Excise notifications to be judicially noticed.

8 of 1912,

25 of 1914,

17 of 1929,

4 of 1931,

3 of 1933,

4 of 1936,

25 of 1938,

27 of 1943,

8 of 1965,

27 of 1974,

14 of 1977,

41 of 1954,

22 of 1955,

9 of 1956,

36 of 1957,

49 of 1961,

17 of 1962,

37 of 1990,

7 of 1995,

7 of 1996,

12 of 2005,

20 of 2011,

7 of 2013.

AN ORDINANCE to consolidate and amend the law relating to the import, export, transport, manufacture, sale, and possession of intoxicating liquor and of intoxicating drugs.

[Date of Commencement: 1st January, 1913]

CHAPTER I

Preliminary

1. Short title.

This Ordinance may be cited as the Excise Ordinance.

2. In this Ordinance, unless there be something repugnant in the subject or context.

"beer” includes ale, stout, porter, and all other fermented liquors made from malt;

"country liquor” means any liquor manufactured in Sri Lanka on which duty of excise has not been levied or is not livable at the full rate of duty chargeable on like liquor imported into Sri Lanka from foreign countries;

"denatured” means effectually and permanently rendered unfit for human consumption;

"excisable article” means and includes any liquor as defined by this Ordinance;

"commissioner-General of Excise” means the officer who has the control of the administration of the Excise Department and of the collection of the excise revenue;

[Am by s 6 of Act 7 of 1995]

"excise officer” means a Government Agent, Assistant Government Agent, or any officer or other person appointed or invested with powers under section 8;

"excise revenue” means revenue derived or derivable from any duty, fee, tax, fine (other than a fine imposed by a court of law), or confiscation imposed or ordered under the provisions of this Ordinance or of any other law for the time being in force relating to liquor;

"export” means to take out of Sri Lanka to sea or to foreign territory; "foreign liquor” includes all liquor other than country liquor: Provided that, in any case in which doubt may arise, the Minister may by notification declare, whether for the purposes of this Ordinance or any rules made there under, any particular liquor shall be deemed to be "country liquor” or "foreign liquor”;

"import” means to bring into Sri Lanka from sea or from any place beyond the limits of Sri Lanka;

"liquor” includes spirits of wine, spirit, wine, toddy, beer, and all liquid consisting of or containing alcohol; also any substance which the Minister may by notification declare to be liquor for the purposes of this Ordinance;

"manufacture” includes every process, whether natural or artificial, by which any excisable article is produced or prepared, and also re-distillation, and every process for the rectification, flavoring, blending, or coloring of liquor;

"place” includes a house, building, shop, tent, boat, or other vessel;

"sale” or "selling” includes any transfer otherwise than by way of gift;

"spirit” means any liquor containing alcohol obtained by distillation, whether it is denatured or not;

to "bottle” means to transfer liquor from a cask or other receptacle to a bottle or other receptacle for the purpose of sale, whether any process of manufacture be employed or not, and includes re-bottling;

to "tap” includes every part of any process by which the spate or flower of any toddy-producing tree is prepared for the drawing of toddy;

"toddy” means fermented or unfermented juice drawn from any coconut, Palmyra, kitul, or other kind of palm tree;

"transport” means to move from one place to another within Sri Lanka.

3. Power of Minister to exempt excisable articles from the provisions of this Ordinance

The Minister may by notification either wholly or partially exempt any excisable article from all or any of the provisions of this Ordinance, either throughout Sri Lanka or in any specified area, or for any specified period or occasion, or as regards any specified class of persons, and may attach such conditions as he thinks fit to such exemption.

4. Limits of sale.

The Minister may by notification declare, with respect either to the whole of Sri Lanka or to any local area, and as regards purchasers generally or any specified class of purchasers, and generally or for any specified occasion, what quantity of any excisable article shall, for the purposes of this Ordinance, be the limit of sale by retail and sale by wholesale respectively.

5. Saving of military and naval canteens.

Nothing contained in this Ordinance shall apply to any canteen, shop, or tavern opened or kept under military or naval regulations, and subject to the supervision of military or naval officers.

CHAPTER II

Establishment and Control

6. The collection of the excise revenue to lie with the Government Agent.

Except as otherwise provided by this Ordinance, the collection of the excise revenue shall be under the charge of the Government Agent. Appointment of Commissioner-General of Excise and other officers of Excise Department.

7. Department of Excise Commission and other officers of Excise Department.

There shall be appointed—

(a) a Commissioner-General of Excise who shall, subject to the general direction and control of the Minister, have the control of the administration of the Excise Department and of the collection of excise revenue, and exercise all or any of the powers, and perform all or any of the duties, of a Government Agent under this Ordinance, either concurrently with him or in his place, and

[S 7(a) am by s 2 of Act 36 of 1957.]

(b) such officers of the Excise Department as may be necessary to give effect to the provisions of this Ordinance.

8. Powers of Minister.

The Minister may by notification applicable to the whole of Sri Lanka or to any district or local area in which this Ordinance is in force—

(a) May appoint persons other than the Government Agent to exercise all or any of his powers—

appoint any person other than the Government Agent to exercise all or any of the powers and to perform all or any of the duties of a Government Agent in respect of the excise revenue, either concurrently with or in exclusion of the Government Agent, subject to such control as the Minister may direct;

(b) may appoint officers to take action under sections 33, 35, and 48 (a), and other officers—

appoint officers or persons to perform the acts and duties mentioned in sections 33, 35, and 48(a);

(c) set out the designations, powers and duties of officers of the Excise Department under the Ordinance;

(d) may appoint any Government officer or other person to act as above—

order that all or any of the powers and duties assigned to any officer under paragraphs (b) and (c) of this section shall be exercised and performed by any Government officer or any person;

(e) may delegate any of his powers to any excise officer—

delegate to any excise officer in whole or in part all or any of his powers under the following sections of this Ordinance: sections 8(c), 12, 14, 19, 20, 24, 25;

(f) May withdraw powers—

withdraw from any officer or person any or all of the powers conferred or imposed upon him by or under this Ordinance;

(g) and may permit delegation of powers—

permit the delegation by the Commissioner-General of Excise or by Government Agents of any powers conferred by this Ordinance, or exercised in respect of excise revenue under any enactment for the time being in force.

9. Orders of Commissioner-General of Exercise or Government Agents, appealable to Minister.

(1) All orders passed by the Commissioner-General of Excise or by a Government Agent under this Ordinance shall be appealable to the Minister in the manner provided by the rules made under section 32(2)(c).

(2) On any such appeal the Minister may make such orders as the circumstances may require.

CHAPTER III

Import, Export, and Transport

10. Import of excisable articles.

No excisable article which is liable to the payment of duty under this Ordinance or under the Customs Ordinance, or any other law for the time being in force relating to the duties of customs on goods imported into Sri Lanka, shall be imported, unless the duty prescribed by such law has been paid, or a bond executed for the payment of such duty.

11. Export of excisable articles.

No excisable article which has been manufactured in Sri Lanka shall be exported, unless the duty, if any, livable under this Ordinance or under the Customs Ordinance, has been paid, or a bond executed for the payment of such duty.

12. Import, export and transport of excisable articles.

The Minister may by notification prohibit the Prohibition of import or export of any excisable article, and may permit the import or export of any excisable article subject to such conditions and to the payment of such duty as he may think fit, and may prohibit the transport of any excisable article from any local area into any other local area.

13. Pass required for import, export and transport of excisable articles.

No excisable article exceeding such quantity as the Minister may prescribe by notification, either generally for the whole of Sri Lanka or for any local area, shall be imported, exported, or transported, except under a pass issued under the provisions of the next following section: Provided that in the case of duty paid foreign liquor other than denatured spirit, such passes shall not be necessary, unless the Minister shall by notification otherwise direct with respect to any local area.

14. Passes for import, export or transport.

(1) Passes for the import, export, or transport of excisable articles may be granted by the Government Agent. Such passes may be either general for definite periods and kinds of excisable articles, or special for specified occasions and particular consignments only.

(2) Passes granted under this section shall be in such form, and shall contain such particulars, and be granted to such persons as the Minister may by notification prescribe.

CHAPTER IV

Manufacture, Possession, and Sale

15. Manufacture of excisable articles prohibited except under provisions of this Ordinance.

Except under the authority and subject to the terms and conditions of a licence granted in that behalf by the Government Agent, or under the provisions of section 20—

(a) no excisable article shall be manufactured;

(b) no tree producing toddy, other than the kithul tree, coconut tree and the palmyrah tree, shall be tapped; and

[S 15(b) ins by s 2 of Act 20 of 2011; am by s2(1) of Act 7 of 2013.]

(c) no toddy shall be drawn from any tree, other than the kithul tree, coconut tree and the palmayrah tree.

[S 15(c) ins by s 2 of Act 20 of 2011; am by s 2(2) of Act 7 of 2013.]

(d) no distillery, brewery, liquor manufactory or warehouse shall be established or worked;

[S 15(d) am by s 2 of Act 7 of 1996.]

(e) no person shall use, keep, or have in his possession any materials, still, utensils, implement, or apparatus whatsoever for the purpose of manufacturing any excisable article other than toddy;

(f) no liquor shall be bottled for sale.

16. Establishment of distilleries, breweries and warehouses.

(1) The Commissioner-General of Excise may—

(a) establish or authorise the establishment of distilleries, breweries and liquor manufactories in which liquor may be manufactured under a licence granted under section 15 on such conditions as the Minister deems fit to impose.

[S 16(1)(a) am by s 3(1) of Act 7 of 1996.]

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