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2020 ] ITC ON CENVAT CREDIT NOT MENTIONED IN THE FINAL CENTRAL EXCISE J15
der the repealed Act are saved by the provisions of Section 174(2)(c) of the CGST
Act, 2017. The abstract of the said Sections are reproduced below for ready refer-
ence.
174. Repeal and saving. - (1) Save as otherwise provided in this Act, on
and from the date of commencement of this Act, the Central Excise Act, 1944
(except as respects goods included in entry 84 of the Union List of the Sev-
enth Schedule to the Constitution), the Medicinal and Toilet Preparations
(Excise Duties) Act, 1955, the Additional Duties of Excise (Goods of Special
Importance) Act, 1957, the Additional Duties of Excise (Textiles and Textile
Articles) Act, 1978, and the Central Excise Tariff Act, 1985 (hereafter referred
to as the repealed Acts) are hereby repealed.
(2) The repeal of the said Acts and the amendment of the Finance Act, 1994
(hereafter referred to as “such amendment” or “amended Act”, as the case
may be) to the extent mentioned in the sub-section (1) of section 173 shall
not -
(a) … … …
(b) … … …
(c) affect any right, privilege, obligation, or liability acquired, ac-
crued or incurred under the amended Act or repealed Acts or
orders under such repealed or amended Acts :
The function of a savings provision in the legislation is to preserve or ‘save’ a law,
a right, a privilege which already exists, or an obligation otherwise repealed or
ceased to have an effect. In other words, a saving, is a device that preserves ac-
crued, acquired rights and incurred liabilities under a statute that no longer exists.
A savings provision is frequently included in legislation to establish beyond doubt
that the provisions of that legislation are to be construed as additional to and not in
derogation of existing law. The possibility of repeal by implication is thus excluded
and the operation of the common law is saved. Therefore, more often, when an Act
is repealed, a clause is expressly engrafted in the repealing Act that “this repeal shall
not affect any right or liability acquired, accrued or incurred.” Any right, monetary or
otherwise, acquired or accrued under old laws would continue to be available to
assessee, as held in following cases.
In case of Gajraj Singh etc. v. The State Transport Appellate Tribunal and Ors.
etc. - (1997) 1 SCC 650, it was held that vehicle permit granted under old law for a
period of 3 years would be valid even for the period covered by new law as the
right had accrued.
In case of Isha Valimohamed v. Haji Gulam Mohamad & Haji Dada Trust -
AIR 1974 SC 2061, the right of a landlord to file a suit for eviction against a tenant
on the ground that the tenant had sub-let the premises, a right conferred by old
Act, was held to be an accrued right which survived the repeal of old Act. On
appeal to the Hon’ble Supreme Court, while dismissing the appeal, the Apex
Court upheld the judgment of the High Court.
In case of Md. Makibar Rahman v. Islam Ali - AIR 1994 Gau 4, it was held
that the provisions of the new Act cannot infringe or relegate the right of appeal
granted under the old Act.
In a recent decision in case of Industrial Trade and Agencies v. State of As-
sam - 2018 (19) G.S.T.L. 613 (Gau.), the Hon’ble High Court observed as under :

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