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2017 (4) TMI 223 - GUJARAT HIGH COURTEntitlement of interest - the date from which the petitioners would be entitled to interest on delayed payment of rebate - whether the liability of the revenue to pay interest under section 11BB of the Act commences from the date of expiry of three months from the date of receipt of application for refund or on the expiry of the period from the date on which the order of refund is made - Held that: - the issue is no longer res integra and stands decided by the Supreme Court in the case of Ranbaxy Laboratories Ltd. v. Union of India [2011 (10) TMI 16 - Supreme Court of India] wherein, the court has held that liability of the revenue to pay interest u/s 11BB of the Act commences from the date of expiry of three months from the date of receipt of application for refund u/s 11B(1) of the Act and not on the expiry of the said period from the date on which order of refund is made. . The respondent authorities are, therefore, not justified in refusing to grant interest on the rebate claims made by the petitioners in accordance with law laid down by the Supreme Court in Ranbaxy Laboratories Ltd. v. Union of India and hence, the petitions deserve to be allowed in terms of the relief prayed for by the petitioners. Petition allowed - decided in favor of petitioner.
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