5. Power of 6[State Government] to declare limit of sale by retail.-
(1) The State Government may, by notification in the Official Gazette declare with respect either to all the territories of the State of Rajasthan to which this Act extends or to any local area comprised therein and as regards purchasers, generally or for any specified class of purchasers, generally or for any occasion, what quantity of any excisable article shall, for the purposes of this Act be the limit of sale by retail.
(2) The sale of any excisable article in any quantity in excess of the quantity declared in respect thereof under Sub-section (1) as the limit of sale by retail shall be deemed to be sale wholesale.
Explanation Rajasthan Excise Act 1950 Section 5
Section 5 of the Rajasthan Excise Act, 1950 grants the State Government authority to regulate the sale of excisable articles by setting excise duty limits for retail transactions, a key component of Rajasthan excise rules. It also establishes a deeming provision for wholesale sales, ensuring effective retail sale regulation. Key aspects include:
- State Government Authority (Sub-section 1):
- The State Government can issue notifications in the Official Gazette to specify the retail sale regulation limit for excisable articles (e.g., liquor, beer, denatured spirit) across Rajasthan or in specific local areas (e.g., Jaipur, Jodhpur).
- Limits can apply to all purchasers, specific classes (e.g., licensed vendors), or particular occasions (e.g., festivals), providing flexibility in Rajasthan excise rules.
- Example: A notification may set a retail limit of 2 liters of liquor per person in urban areas to control consumption.
- Excisable Articles:
- Excisable articles, defined under Section 3, include liquor, beer, fermented liquors (e.g., Pachawai), denatured spirit, and other items notified by the State Government.
- Section 5 ensures these articles are sold within regulated excise duty limits to protect public health and state revenue.
- Retail Sale Regulation:
- The retail limit defines the maximum quantity for personal or small-scale purchases, enforcing retail sale regulation to prevent over-distribution.
- Example: A 1.5-liter cap on beer sales per transaction in a district ensures compliance with Rajasthan excise rules.
- Deeming Wholesale Sales (Sub-section 2):
- Sales exceeding the retail limit are automatically deemed wholesale, subject to stricter regulations and higher excise duty limits.
- Example: Selling 10 liters of liquor, exceeding a 2-liter retail limit, is treated as a wholesale transaction under Section 5.
Section 5 empowers the State Government authority to tailor excise duty limits, ensuring effective control over excisable articles and supporting Rajasthan excise rules for revenue and public welfare.
Key Points Section 5 Rajasthan Excise Act
- Purpose: Section 5 Rajasthan Excise Act enables the State Government authority to set excise duty limits for retail sales of excisable articles.
- Retail Sale Regulation: Specifies maximum quantities for retail purchases, ensuring controlled distribution under Rajasthan excise rules.
- Wholesale Deeming: Sales exceeding retail limits are deemed wholesale, attracting stricter regulations.
- Flexibility: Limits can apply statewide, to local areas, or specific purchaser classes/occasions via Gazette notifications.
- Link to Section 3: Relies on Section 3’s definition of excisable articles (e.g., liquor, beer).
MCQs
- Under Section 5 of the Rajasthan Excise Act, 1950, the State Government has the power to:
- If an individual purchases liquor in excess of the limit notified by the State Government under Section 5, such sale is considered:
- The notification of retail sale limits under Section 5 must be published in:
- Section 5 of the Rajasthan Excise Act, 1950, applies to:
- a) The whole state only
- b) Any part of the state, as notified
- c) Only Excise Officers
- d) Only manufacturers
Answer: b) Any part of the state, as notified