An excise duty or a countervail ing duty, a the case may be, shall , i f the State Government so directs, be levied on all excisable art icles other than medicinal and toilet preparations specified for the t ime being in the Schedule to the Medical and Toilet Preparation (Excise Duties) Act, 1955 (No. 16 of 1955) : -
(a) imported; or
(b) exported; or
(c) transported; or
(d) manufactured, cult ivated or collected under any l icence granted under Section 13; or
(e) manufactured any dist i l lery established, or any dist i l lery or brewery l icensed, under this Act
Provided that i t shall be lawful for the State Government to exempt any excisable art icle from any duty to which the same may be l iable und er this Act.
(2) Duty may be imposed under sub -section (1) at different rates according to—
(i) the place to which any excisable art icle is to be removed; or ( i i) the strength and quali ty of excisa ble art icle; or ( i i i) the use of excisable art icle for d ifferent purposes; or ( iv) The value of excisable art icles based on principles as may be prescribed.
(3) Notwithstanding anything contained in sub -section (1) ,—
(i) duty shall not he imposed there under on any art icle which has been imported into India and was l iable, on such importation, to duty under the Sea Customs Act, 1878 (VIII of 1878). or the Indian Tariff Act 1894 (VIII of 1894) ;
( i i) [Omitted] 20
(4) Nothing contained in this section shall be construed to preclude the State Government from enhancing or reducing the rates of duty during the course of a financial year and the power to enhance or reduce the rate of duty shall include power to give retrospective effect to such enhancement or reduction from a date not earl ier than the commence ment of the financial year