Medicinal and toilet preparation act

1. MEDICINAL AND TOILET
PREPARATION ACT, 1955
By
Harshita jain
Assistant Professor
Career Point School of pharmacy,
Career Point University, Kota

2. INTRODUCTION
Alcohol has always been a fascinating
friend of the mankind
Drinking alcohol for pleasure’s sake is an
abuse.
Use of alcohol for preparation of medicines
is necessity.
Alcohol used either for drinking or
manufacture of perfumes is subjected to
higher duties than that of used in medicine
preparation .
Affordability of alcohol is to be controlled .
This is the reason to take this Act in
existence.
The Excise Duties Act came in force in
1955.
For excise duty to be an effective alcohol
control measure , duty need to increase
annually in relation to inflation and
income

3. OBJECTIVES
To provide for the collection of levy and
duties of excise on medicinal and toilet
preparation containing alcohol drugs or
narcotics
To provide for uniformity in the rules
and rates of Excise duties livable on
such preparation throughout the country
To provide the misuse of alcohol
its issue transport and use
should be controlled
To provide for exhaustive rules and
provisions are provided to cover all types
of preparations containing alcohol,
including homeopathic preparations
Levy and collection of duties
Curb all irregularities of previous Act

4. DEFINITIONS
UNDER
THE ACT
Alcohol – alcohol means ethyl
alcohol of any strength and
purity having chemical
composition C2H6OH
Dutiable goods - it includes the
medical and toilet preparations
specified in the schedule as being
subject to the duties of excise levied
under this act
Medicinal Preparation – It includes
the drugs used as a remedy or
prescription prepared for internal or
external use of human being or animal
and all substances intended to be used
for or in treatment , mitigation or
prevention of disease in human beings
or animal

5. DEFINITIONS
UNDER
THE RULES
Bonded Manufactory- it means the
premises or any part of the premises
approved and licensed for the
manufacture and storage of medicinal
and toilet preparations containing
alcohol, opium, Indian hemp, and other
narcotic drugs or narcotics on which
duty has not been paid.
Non-Bonded Manufactory- it means
the premises or any part of the premises
approved and licesced for the
manufacture and storage of medicinal
and toilet preparation and storage of
medicinal and toilet preparation
containing alcohol opium, Indian hemp,
and other narcotic drugs or narcotic on
which duty has been paid.

6. MANUFACTURING
IN BOND
The license is issued from office of the Excise
Commissioner of the State for alcohol.
Application should be made two months in
advance prior to date of manufacturing along
with requisite fee as indicated.
The application should include:
1.Name, addresses, and site of bonded
laboratory if it is a firm name and address of
every partner of the firm; if it is a company,
its registered name, address of the Managing
Director and Directors.
2. Capital to be invested for bonded
preparation.
3. Number and description of apparatus,
machinery, still and maximum amount of
alcohol to remain at one time.

7. MANUFACTURING
IN BOND
4.Approximate date ofstarting manufacturing;
requirement of excise officer, either whole time
or part-time.
5.List of preparations containing alcohol;
licence number issued by Licensing Authority
underDCA.
6.Elevation plan, plan of different
rooms, details of doors and windows,
and quarters for excise staff are to be provided.
7.In case of firm, partnership deal and in case of
companies, list of association and latest
balanced sheet of the company.

8. MANUFACTURING
OUTSIDE BOND
The manufacturing and sale operations are
restricted only between sunrise and sunset
and days and hours as fixed by the Excise
Commissioner. Essential requirements of
Manufactory are:
1. Separate laboratory spirit store and
finished store.
2.Only one entrance to non-bonded
manufactory and one door each to
laboratory, spirit store and finished store.
3.The iron bars in windows should be not
less than 19 mm in thickness, set not more
than 102 mm apart and fixed in brick
construction to the depth of not less than 51
mm. The aperture of wire netting to the
window should not exceed 25 mm in
diameter.
4.A separate spirit store for rectified spirit
purchased at the specified duty.

9. MANUFACTURING
OUTSIDE BOND
5. All pipes from wash basins and sinks are
connected to closed drainage forming part of
general drainage system.
6.All electric and gas connections should be
well secured with one cut off switch.
Exemptions:
The following are exempted from duty on
medicinal preparations containing alcohol
manufactured in India & supplied direct from a
bonded manufactory or warehouse
The preparations supplied to Government
hospitals, dispensaries and charitable hospitals,
and institutions which supply medicines to poor
as certified by the district medical officer are
exempted from payment of excise duties.

10. MANUFACTURE OF
ALCOHOLIC PREPARATIONS
In Bond Outside Bond
• Construction of bonded lab as per law
{raw spirit store, manufacturing
room, store room for finished
goods , excise staff office}
• Construction of non-bonded lab as
per {raw spirit store, manufacturing
room, store room for finished goods}
• Excise duty payable on removal of
goods from bonded lab.
• Excise duties payable at the time of
spirit purchase.
• Bonded lab to function under excise
staff
• No excise staff
• Suitable for large scale manufacture. • Suitable for small scale
manufacture.
• Licence • Licence.

11. POWER OF
EXCISE
OFFICER
Inspection
Entry , search and seizure
Detention of person
Suspension – revoke of license.
Summons / notices
Prosecutions.
Power of arrest
Power to make rules

12. DUTIES AND
RESPONSIBILITIES
OF EXCISE OFFICER
Checking the qualifications and
experience of technical staff,
equipments , suitability of building and
applicants financial position.
Visit the premises at regular intervals
Countersign on indent to get alcohol
from distillery
Correct collection of duty and penalty
Articles seize should handed over to
officer in charge of police station
Articles seized should be disposed
speedily
Persons arrested should be forwarded
without delay to excise officer who is
empowered to produce against
magistrate.

13. OFFENCES AND PENALTIES